News From Tokyo: Sony's PlayStation 3

Sony's long-awaited PlayStation 3 is a star at the Tokyo Game Show this week, with show-goers getting the first up-close look at the next version of the popular game console and its software.

Watch PCWorld.com news for ongoing reports from IDG correspondents at the event -- including an up-close look at the PlayStation 3.

But here's one tidbit: Sony is dropping the price of the still-unreleased PlayStation 3 -- but only in Japan! The cheapest of two versions of the console will cost $427 in Japan, said Ken Kutaragi, president of Sony Consumer Entertainment in a speech at the show on Friday morning. That's down from the previous announced price of $536 -- but closer to the $256 Microsoft recently said it will charge for the lower-end version of its rival Xbox 360, scheduled for release in Japan about a week before Sony ships the PlayStation 3.

Sony isn't cutting its PlayStation 3 price tag in the U.S., however; launch price will remain $499, says Nanako Kato, a spokesperson for SCEI in Tokyo.

Other news: Sony will fit a high-definition multimedia interface (HDMI) on both versions of the PlayStation 3. The company had previously said it would only be available on the higher-end model.

Sony's first new games console in more than five years is scheduled to launch in Japan on November 11 and in the U.S. on November 17. The European launch has been delayed until 2007 because of component shortages.