As was first reported by Cheap Ass Gamer, it looks like the PlayStation 3 will be seeing a $100 price drop to $499.99 beginning July 12. Initially, it looked like this might simply be a promotion for the week of the 15th, but GameDaily BIZ has confirmed this with a merchandising manager at one of the world’s biggest retailers who wished to remain anonymous.

While the price drop is scheduled across retail to take place on July 12 (which is a Thursday), the first wave of ads won’t be seen until July 15. SCEA declined to comment when contacted, but this was bound to happen at one point or another – and with the PS3 losing more and more ground to both the Xbox 360 and Wii each month, something needed to be done.

Assuming this pans out, this puts quite a bit of pressure on Microsoft; the Xbox 360 Elite is still $479.99 and lacks many of the features the PS3 has, such as a Blu-ray player (the Elite doesn’t even have an HD-DVD player) and built-in Wi-Fi.

Well, I’m certainly glad I haven’t plopped down the $600 just yet. And only about five hours ago I was contemplating gathering the cash to pick one up. This price drop leads me to wonder, though – will the 20GB SKU see a return, meaning that there would be a $399.99 PS3? Or will Sony launch a new SKU with a larger hard drive? We’ll know next week when Sony holds its press conference at E3.