SCEE: PSP Go takes advantage of early adopter 'premium'


Michael Pachter retracted one of the most correct statements he's ever made: the PSP Go is a "rip off" for consumers. The PSP Go takes away the expensive-to-manufacture UMD drive and replaces it with cheap flash memory -- and yet it still costs more than the current PSP-3000. Fun fact: You can buy a standard PSP and 16GB Memory Stick Duo Pro right now for less than a PSP Go.

Sure, the new form factor looks nice, but Sony should have no manufacturing costs to pass down to the consumer. MCV asked SCEE's Andrew House if R&D or retailer markups were the reason behind PSP Go's high price. "Those aren't the factors," House admitted. "When you introduce a new piece of hardware you have the opportunity to say there is a certain premium that is associated with it, and we took that into account."

Essentially, House is admitting you can charge more for technology when it's new. It's unsurprising, but it certainly leaves a bad taste knowing Sony can easily charge less for the PSP Go. Perhaps Sony will follow the iPhone's footsteps and suddenly drop the price of the PSP weeks after early adopters pay their "premium" price.

This article was originally published on Joystiq.