Would see the new console launch $100 cheaper than the $499 PS3.
The PlayStation 4 will launch in Japan priced at over ¥40,000, reports Japanese daily Asahi Shimbun.
A ¥40,000 price point converts to approximately $428, but pricing conventions point to this being rounded down to $399. The PlayStation 3 launched in the US in $499 and $599 SKUs, meaning the new console would launch at a much more affordable price.
The Wii U launched in November 2012 in $299 and $349 SKUs.
What this means for the UK launch price isn't clear, but £399 wouldn't be a surprise.
Japanese business daily Nikkei is also confirming rumours that Sony's February 20 event will indeed unveil the PlayStation 4, adding that cloud tech Gaikai will feature.