That seems like what is going on according to Ed Oswald at BetaNews - SanDisk Unveils Low Cost MP3 Player:
SanDisk on Tuesday unveiled its m200 series of flash-based MP3 players, the first higher capacity players to break the $100 USD price barrier while ensuring PlaysForSure compatibility. The SanDisk players will range in capacity from 512MB to 4GB.
The company’s aggressive price structure could force other Windows-based audio player manufacturers to again lower prices. Many are already hurting financially due to price pressure from market leader Apple.
With a retail price of $79.99 USD for its 512MB model, SanDisk has priced the devices about a third less than competing players.
Of course, most of the pressure is on the PlaysForSure crowd.
