Beijing: Sony is all set to slash its PlayStation 3 game console price in Japanese market, and launch a new midrange model by the coming month (November).

Sony has decided to cut the suggested cost of the PS3 with a 20GB hard drive from around $425 (49,980 yen) to 385 dollars on October 17.

The company will also start selling its 60GB model for just about 470 dollars. Sony has not so far indicated a price for the 60GB model that presently sells for around $510.

The price diminutions accompany similar price cuttings by Sony’s game unit in European and other markets last week.

In addition to the price cuts, Sony will also introduce a 40GB model for about 340 dollars in Japan from Nov. 11. The new PS3 model, however, won't be capable of playing PS2 games.

The PS3 has lagged the Wii in sales since the gadgets were introduced late last year owing to the Sony machine’s high cost and shortage of strong game titles.