Sony’s PSP is set for a price drop. The unit which has been around for a while now has done fairly well as a game device, but hasn’t captured the movie player audience it was hoping for. The unit will be droping from $200 to $170 and the bundled kit will drop from $250 to $200. On the movie front, UMD movies will be dropping in price as well, some as low as $9.99.

Sony claims the PSP isn’t going anywhere. Lets see how this new price point does with the sales of UMD discs.