Gamers can buy the digital version of the Playstation 5 for £160 cheaper than the console version.
Sony started pre-orders for the PS5 at "selected retailers" today ahead of its November 19 release in the UK.
The £359.99 Digital Edition is the same as the standard one except it comes without a disc drive.
Sony has price-matched the PS5 with the Xbox Series X by its competitor Microsoft having undercut it for the PS4.
Its digital edition costs £110 more than the lower end £250 Xbox Series S which is less powerful than the Series X.
PS5 consoles are set to be released in the UK a week after they are in the US, Japan and Australia.
Sony smashed Microsoft in the last generation of the "console wars" with PS4s outselling the Xbox One range by more than two to one.
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But pundits say the Japanese's firm £449 price tag for the PS5 could mean it's a closer battle this time round.
They claim Microsoft's cheaper XBox Series S and value Xbox Game Pass subscription service could give the US firm an advantage.
Video games journalist Laura Dale said: "Microsoft has a really appealing offering with the Xbox Series S pricing at just £250, and Sony doesn't really have an answer to that for people who just want the cheapest possible entry point to next-generation gaming.
"However, people who want to play any of Sony's first-party franchises are unlikely to be swayed to Xbox just because it's cheaper."
Sony will reportedly focus its appeal on the draw of its "console exclusive" titles and has teased its forthcoming God of War sequel Ragnarok, which it said would be released next year
Final Fantasy XVI, Marvel's Spider-Man: Miles Morales and Deathloop are among Sony's console-exclusive games.
Louise Shorthouse, a games analyst at Omdia, said: "It is possible that PS5 will have launched three console-exclusive titles before Xbox Series X manages to launch its first – Halo Infinite, with no date in 2021 specified as of yet.
"Consumers also tend to stick with the same console brands across generations, so Sony is in an incredibly strong position."
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