AUG. 17, 2010 • Sony Computer Ent. announced that it was immediately increasing the PlayStation 3 hard drive capacity of its $299 120GB PS3 Slim to 160GB at no extra cost. On Sept. 19, the gamemaker will release a 320GB model for $399 that includes a PlayStation Move motion controller, a PlayStation Eye controller, and a copy of Sports Champions. The 250GB model was discontinued.

Impact: With hard drive costs continuing to decline it is nice to see manufacturers passing those cost savings along to consumers. The $399 model is actually a very good deal.  However, once again we get concerned about potential consumer confusion when there are so many bundling options to choose from. We personally think the PS3 hardware bundles are less confusing than the Xbox 360 bundles. However, we are not sure if consumers will feel the same way as the Xbox 360 has a first glance advantage on price.  The Xbox 360 has bundles ranging from $200 to $400. Consumers looking to get into the market can do so for $200 with the Xbox 360 and worry about buying upgrades later.  With the PS3, the entry price remains $300.