Sources are confirming to us that Sony will officially announce that they will be slashing the price of the PSPgo in North America by $50. This will bring the price of the unit down to $199.

The move is an attempt to get inventory sold, as the device has taken massive flack since release for its high price tag in conjunction with being a download-only unit. The price cut of $50 is said to be only for the North American market and will come Friday, October 15th. It is unknown if Sony will move to slash the price in other markets, as well.

Sony has tried a number of other moves in an effort to gain some traction for the PSPgo; but despite the promotions that it has run, it has been unable to really get sales going on the unit. At least for the time being, Sony apparently has no plans to discontinue the unit, but if sales don’t pick up our sources tell us that the discontinuance of the PSPgo is a very real possibility.