Sony announces a new "low-cost" blu-ray player dubbed BDP-S300.

The Sony BDP-S300 will sell for $599. The BDP-S300 will be smaller than the currently available BDP-S1, will support full HD output at 24 frames per second and play audio CDs.
Other features of the BDP-S300 include 1080p DVD upscaling and Bravia Theater Sync utilizing HDMI connectivity. If Sony would not have the PS3, Blu-ray would have a tough stand with Toshiba having pushed the price for their entry HD-DVD player down to $379.99.

The source of the Sony BDP-S300 announcement is this AP Story on Yahoo!. Update: Sony released a BDP-S300 press-release.