Sony PlayStation 3 prices may see a drop in the near future as Sony has revealed that hardware adjustments are being worked out to save on company costs and allow the effects to trickle down on consumers.

The move, Sony says, is part of their cost-cutting strategy which is parallel to their experience with the original PlayStation and PlayStation 2 game consoles. The policy, they say, should lower down the manufacturing costs just enough to see more affordable PS3's in the retail market.

Incidentally, the European version of the PS3 is due out next month and was announced to carry a different set of hardware specifications but no word was given as to how the new developments will affect pricing.

The PS3 Euro was also revealed to have backwards compatibility issues but Sony addressed the matter saying, "We will continue to offer firmware upgrades to increase the number of titles that are compatible, but rather than concentrate on PS2 backwards compatibility, in the future, company resources will be increasingly focused on developing new games and entertainment features exclusively for PS3."