At E3, both Sony and Microsoft announced line-up revamps designed to make their gaming devices more attractive to gamers and increase sales. Microsoft announced that the Xbox 360 would get a price reduction for the console version that has a 20 GB hard drive, while a new variant of the device, with a 60 GB hard drive, would be introduced, priced at 349 dollars. Sony, not to be outdone, also announced a new console variant. The 40 GB PlayStation 3 will be withdrawn from production and a new model, with an 80 GB hard drive, will be sold for the same price.

Sony Computer Entertainment Europe head David Reeves said that the move had been in development for more than eight months at Sony headquarters and that, come August 27, the 80 GB console would be available all over the world, while gamers would be hard pressed to find a 40 GB version anymore. He commented on the issue that "If the 40GB is still there we will add a piece of software or an extra DualShock 3 to it to move it through, and we say good-bye to the 40GB, hello to the 80GB", suggesting that price cuts and promotional deals would be widely available for the old version as the remaining stock is sold.

Interestingly enough, Reeves does not believe that the increase in storage space will make much of a difference in the sales numbers of the PlayStation 3. He reckons that the increase was sorely needed, taking into account the fact that more games are released and that soon PS3 users will be able to store videos on their machines using PlayTV. He also says that while a bigger hard drive will not sell more consoles, he is confident that gamers will go out and buy more titles, taking advantage of all the free space they have now.

David Reeves was quick to comment on the statements made by Don Mattrick from Microsoft who said that the Xbox 360 would sell more units PlayStation 3 overall. Reeves declared that "They won't in Japan. They won't in the PAL territories. So the deciding factor is North America, and that I can't comment on. I just don't know the figures. But I agree with Kaz. I think over a 10-year life cycle... I don't see it".