An article released yesterday from news source Bloomberg reported that Sony is currently chatting Samsung up about increasing their purchase of flash chips from the Korean company. The deal, which appears to be even bigger than the one Apple Computer struck with Samsung recently, could account for one-fifth of Samsung's NAND chip production, an arrangement that could potentially mean around $1.8 billion for Samsung's coffers. While Sony reports that the chips are for a new line of 8 GB MP3 players, the news suggests that Sony may be considering dropping the price on PSPs to meet their goals of doubling sales in 2006. The bulk purchase of the chips makes them cheaper individually, which means that the Big S may be able to shave off a few dollars per unit sold. Nothing's certain yet, but seeing as the main complaint everyone has about the PSP is its price, it seems likely that Sony will be able to push more of the consoles into gamer's hands at a cheaper, more competitive price point.

[via Punch Jump]

[UPDATE:] Read up on Engadget's take on the news.

This article was originally published on Joystiq.

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