Sony has set an "end of the year" release window for its upcoming Next Generation Portable, but it looks like the company isn't waiting that long to drop the price on its current PlayStation handheld. Starting Sunday, February 27, the PSP-3000 system will be available for a new low price of $130 – a considerable $40 off from the previous $170 MSRP – while "Entertainment Packs" with bundled games will now start at $160.

The announcement comes just four months after the PSP Go received a price cut from $250 to $200 and will likely make Sony's drive-less device a tougher sale. The latter marked a major shift for Sony in the handheld arena from packaged media in favor of digital downloads, but otherwise it wasn't much of a technical improvement and ultimately failed to catch on due to its high price and inability for gamers to transfer their UMD library they had already invested on.

The upcoming PSP-3000 price cut might lure a few more buyers in the run-up to the NGP launch. Additionally, thirteen more titles are being added to the PSP's Greatest Hits and Favorites game packs, which sell for $20 and $10 respectively, to complement the price cut. You can check out all the details on the PlayStation Blog.