Sony has slashed the price of PlayStation Vita to €199 in Europe and $199 in North America.
Sales for the handheld have been sluggish since its launch early last year, but the platform holder is hopeful that this will pick up with the launch of the PlayStation 4 this November.
The price cut was announced during Sony's Gamescom press conference, where the company also announced that almost every PS4 title will be playable on Vita using the system's Remote Play option.
It also detailed new titles for the handheld, including forthcoming indie hits such as Hotline Miami 2 and new IPs Murasaki Baby and Big Fest.
Sony claims there will be more than 900 titles available for the platform by the end of year, with more than 150 developed specifically for PlayStation Vita.