Sony has announced price cuts for the PSP Go in both Japan and the US. Originally launched at ¥26,800 ($332), the tiny, UMD-free system will retail for ¥16,800 ($208) in Japan starting tomorrow. In America (according to Reuters), the system will drop somewhat less dramatically, from $249 to $199.

The Japanese price drop makes both the PSP Go and the PSP 3000 the same price in that region -- your decision is now based on whether or not you want to be limited to PlayStation Store releases.