BEIJING, July 10 (Xinhuanet) -- Sony Corp., the world's biggest game-console maker, surprised the industry by cutting the price of the PlayStation 3 in the U.S. by 100 dollars, or 17 percent, responding to the widening lead of Nintendo Co.'s Wii and Microsoft Corp.'s Xbox 360.

Starting Monday, the current 60 gigabyte model will cost 499 dollars, down from 599, in an effort to spur sales of the struggling video game console.

The announcement came two days before the E3 Media & Business Summit in Santa Monica, California, where dozens of Sony rivals Microsoft Corp. and Nintendo Co. were expected to show off their latest games and related products.

The price cut is part of the company's upcoming strategy of eventually offering downloaded high-definition movies, video games, movie trailers and demos, Sony spokesman David Karraker said.

Karraker said Sony would use the E3 show to focus on two areas: ways to increase the number of consumers who own PS3s and other products such as the PlayStation Portable handheld system, and expanding the system's library of available games.

In April, Microsoft began selling a version of its Xbox 360 with a 120-gigabyte hard drive and a souped up high-definition video connection. Called Xbox 360 Elite, the black-colored system sells for 479.99 dollars.

Sony would be releasing 100 new video games during the current fiscal year, including 15 titles that are exclusive to the PS3 such as the hack-and-slash action title "Heavenly Sword," Karraker said.

(Agencies)