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We think the redesigned PS3 is small enough. However, Sony's Japanese designers, in their continuing desire to shrink things, noted that the PS3 Slim "could have been made even smaller."

Sony's executive VP of technology Masayuki Chatani spoke with Japanese newspaper Nikkei about the challenges of designing a slimmer PS3. The goal was not only to cut costs, but to expand its attractiveness to "an even wider range of users." Considering the Japanese penchant for small electronics, the original PS3's girth was certainly a limiting factor.

However, certain sacrifices would have been necessary for Sony to pursue an even smaller box. One option was to place "the power supply on the outside," much like Microsoft's Xbox 360 power brick. Taking yet another page from Microsoft, an even more drastic option considered was to remove the hard drive altogether. The alternatives -- Flash memory or virtual network storage -- proved to be too expensive, and too unreliable. Ultimately, the Sony team chose function over form. "One of the best features of the PS3 is that people can download games to the internal local storage unit and play comfortably." That reminds us -- we need a bigger couch.

[Via IGN]

"It Only Does Everything"

Well, except make money. Three years after the launch of the original PS3, Sony has yet to profit from the hardware. It's getting close, though. The redesigned slim PlayStation 3 is smaller -- and thanks to the passage of time -- much cheaper to manufacture than the launch models, which lost Sony over $200 with each unit sold. According to iSuppli's teardown analysis, a current PS3 system costs $336.27 to make, about $500 cheaper than the first batch of consoles. With the system retailing for $300, Sony is still incurring at least a $40 loss per system, when you account for marketing and other additional costs. (This also means that Sony lost about $17.6 million over Black Friday week on PS3 hardware sales.)

The single most expensive component to the system is still Sony's proprietary Blu-ray disc drive, which is estimated to cost about $66 to make. Other components have dropped significantly in price thanks to a switch from 65nm conductors to 45nm. The end result is a far more power-efficient system that requires less power and cooling technologies. "In light of these factors, the PlayStation 3 probably is already at or near the tipping point for profitability," iSuppli's Andrew Rassweiler added. So, if for some reason you need Sony Corp to lose money, you better rush and buy a PS3 now before they make those things profitable!

[Via CNET]

Don't you wish there was a PlayStation system you could just carry around with you everywhere you go? Wait, they made one of those? Drats!

That didn't stop Epson from creating a Ghostbusters-inspired wearable PS3 suit. Equipped with a PS3 Slim as a backpack, and an Epson projector, this "extreme" gamer takes his hobby to the street, literally.
[Thanks Camron!]

Did you download last night's optional 3.15 firmware update on PS3 only to find that none of your PSP Minis were working on the PS3? You're not alone! The team at PSN Stores has compiled a list of all the Minis that work on Sony's home console -- a whopping five: Blast Off, Echoes, Kahoots, Stand O' Food and Zombie Tycoon.

But what about the remaining Minis? Unfortunately, you'll have to wait a week before the whole lineup is expected to work on the PS3. That means, at least for one week, your copy of Sudoku will remain exclusively on your PSP. Why Sony decided to release the firmware update so long before the feature, ahem, works is beyond us.

What does 15 years of PlayStation look like? Sony Computer Entertainment Japan has opened a brand new site celebrating the legacy of the PlayStation platform, featuring a timeline of Sony's major gaming hardware releases, beginning with the launch of the original Japanese PlayStation on December 3rd, 1994. Sony's handheld holds a majority of those dotted events, with every version of the PSP (from the 1000 to the Go) represented.

The "15" year logo is a fun potpourri of various accessories released throughout the brand's history. In addition to SingStar microphones and Buzz! controllers, you can see Sony playing homage to UMD, PocketStation and rubber ducks -- stars of the initial tech demos for both PS2 and PS3.

[Thanks, tmacairjordan87]

Just a few hours after Nintendo, Sony has prepared a Black Friday sales statement of its own. SCEA's Patrick Seybold wrote in a press release: "PlayStation 3 demand was at an all time high with the system selling more than 440,000 units for the week ending 11/29/09." While shy of Wii's numbers, the figure is quite impressive, considering that's more than the number of systems sold in the entire month of October -- the same month that the PS3-exclusive Uncharted 2 came out.

Retailers offered a number of PS3 bundles during the holiday weekend, adding a number of free games and movies to the system's standard $299 price tag. That, coupled with an ad campaign that totally doesn't creep us out, certainly helped Sony's fortunes this year.

You may laugh at the "It Only Does Everything" ads but those of us with a cot in the Joystiq Bunker understand that they're a sign that the end is nigh. Why? Because the US military is looking to make a super computer made up of 2500 interconnected PS3 systems -- wait, isn't that how Skynet is made?

The US Air Force already has over 300 launch PS3s in its arsenal, but an upcoming purchase of 2200 additional systems will greatly expand the number-crunching capabilities of its networked supercomputer. According to Information Week, the US Air Force will use Sony's Cell-powered hardware for radar imagery, HD video processing and "neuromorphic computing" or, to those of us without a PhD in Armageddon-ology, "building computers with brain-like properties."

Yeah, we told you the end was coming.

As promised, firmware 3.10 is now available to download for your PS3. Navigate to System Update from the XMB to download this update. Included in this package:

System changes

• Added the ability to access some Facebook features from the XMB.
• The [Friends] list has been redesigned.
• The user is now able to change the color of their [Profile].

Media changes

• Expanded [Photo] folders and playlists are now displayed in a grid, rather than a list.
• Added various TV website shortcuts for users in Europe under [TV]. (For more details, visit PlayStation.Blog.Europe)

We'll be testing the Facebook integration later tonight. Stay tuned.

[Thanks, Levi!]

The PS3 Slim may be $299, but that doesn't mean it can't look like the launch price of $599. Colorware is planning on making five limited edition PS3 systems that have been dipped in 24k gold. Expect this Flava Flav-approved hardware to cost a tad more than a regular paint job from Colorware: $149.

If you do end up deciding to get one of these Midas-touched PS3s, let us know. We totally need to be friends.

[Thanks, Kreyg]

Many Netflix subscribers will find a rather inconspicuous red envelope in the mail today. It may look like a standard Netflix package, but inside PS3 owners will discover the "Instant Streaming Disc" which enables Netflix's instant streaming service on Sony's console.

We've embedded a video overview of the service above. We'll admit that there are a few qualms with the presentation so far. First, the activation process is slow and requires the use of a computer -- there is no way to activate Netflix directly from the PS3. (You won't be able to use the PS3 internet browser for activation purposes either.) Second, the loading of cover art is suspiciously slow. Finally, there is no way to directly manage your Queue from the interface. While you'll be able to browse various categories, there is no Search capability. One benefit the PS3 has over the 360 in this regard is the built-in browser. You will be able to use the PS3's internet browser to manage your Queue. It's a baffling additional step, but it certainly is an added convenience. (ProTip: Use SELECT to add a bookmark to your PS3 internet browser.)

While the previous video we posted suggested otherwise, we can confirm that HD video works on PS3, and it works well. In fact, it's a bit faster than watching SD content, simply because you won't have to wait for the PS3 to switch between resolution modes. When browsing your queue, look for a tiny HD icon at the bottom of the screen to see if it will play in high-def. (The selection can be quite limited.) When judging the overall experience, however, we'd say starting movies required a longer buffer than when using the service on the 360 or PC. Netflix is a terrific value-add for the PlayStation 3, but minor interface issues make it clear that there's a lot of room for improvement -- perhaps when Netflix becomes a standard built-in feature of the OS next year?

If you haven't heard, the PlayStation Wii is so successful, it pretty much prints money. Wait, Sony didn't make the Wii? Then how did the market analysts of DFC Intelligence come to the conclusion that "Sony was saved by the success of the Wii?"

According to DFC, the Wii's mainstream appeal forced Microsoft into a successful, but not entirely dominant position. "The main danger Sony faced was that the Xbox 360 would become embedded as the system of choice. Instead consumers flocked to the Nintendo Wii. The Xbox 360 had solid sales, but they have not been enough to give Microsoft anywhere near a breakout market position," the report explains.

Should enthusiasm for the Wii wane this holiday season, the recent price drop, coupled with with impending release of God of War III, finally positions the PS3 as a viable choice for mainstream consumers, the report notes. EEDAR's Jesse Divnich agrees, pointing out that Sony can finally utilize its leverage from the previous generation. "People who purchase a PS2 are more likely to purchase a PS3 in the future. Consumers, believe it or not, are pretty loyal."

Three years after the launch of the PS3, Blu-ray is also finally becoming a marketable feature for mainstream consumers, the report argues. "This holiday season Blu-ray movies are finally getting a major focus at retail ... Blu-ray clearly now becomes a strong selling point for the PlayStation 3." Undoubtedly, SCEA will create an ad that focuses on this aspect of the system that "only does everything."

While DFC's report comes off as incredibly bullish, it's understandable to see why there's some doubt over Sony's ability to capitalize on the moment. Let's not forget, this is a company that managed to fall from first to last place in the course of a year. "The cards are in Sony's favor and now is the time to make the most of them ... Now is the time for Sony to shine ... or else."

[Via CVG]

Source - Is it Time for the PlayStation 3 to Shine?
Source - How the venerable PlayStation 2 made it to 9 years old

Just a quick reminder to let everyone know that the 250GB PlayStation 3 is available now in North America. The package runs $349 and crams a console, 250GB hard drive, controller and composite AV cables into the box. As the more astute readers have no doubt realized, the only thing different from the 120GB model is the 250GB hard drive. Still, as Gaming Bits points out, that's more than twice the storage for an extra $50 over the $299 model.

Of course, with Black Friday sales just a few weeks away, you might consider waiting to see what deals will be available before taking the plunge.

We do not tire of SCEA's new ad campaign for the PS3, "It Only Does Everything." SCEA is rolling out two more for TV use, one specifically for the upcoming Ratchet & Clank Future: A Crack in Time, and another that highlights a variety of PS3 games in an exciting montage featuring Uncharted 2, Killzone 2, Gran Turismo 5, Assassin's Creed 2 and more. Kevin Butler's convincing performance as a 80s guitarist has us asking just one question: can he be our friend?

Earlier this week, we got our hands on a few European GameStop listings for 250GB PS3 bundles. Earlier today, SCEE and SCE UK confirmed the hardware packages and included games. Earlier this hour, we went to Whole Foods and purchased some really crisp bok choy. (Sorry. We got into a rhythm there.)

Europeans will have their choice of two bundles, both of which will be made available throughout October. One of the collections includes Need for Speed: Shift, while the other includes FIFA 10. Needless to say, both bundles come with the recently GB-boosted console. A price point for these two bundles has not been specified, but we've contacted Sony for clarification.

Bizarrely enough, the UK's getting a different set of bundles than the rest of the continent. On October 1, United Kingdomites will have their choice of a 250GB PS3 bundled with Infamous or two unnamed Platinum Hits. Their options will be further expanded on October 16 with the release of an Uncharted 2 bundle, and once more on October 19 with a bundle that includes the X-Men Origins: Wolverine and The Dark Knight films on Blu-ray and a film-friendly remote control.

SCE UK has graciously provided a price for its bundles -- £284.99 ($450) -- making it our certified favourite European Sony chapter of the day. That's as legit as being knighted by the Queen, you know.

Update: After the break, we've posted a snapshot of the FIFA bundle provided by a GameStop employee in Norway.

The 250GB PS3 is real! Sony is taking advantage of its exclusivity of Final Fantasy XIII in Japan by introducing a new bundle. For 41600 yen, Japanese gamers will get a special limited edition system with Lightning (the main character, not the weather condition) printed on the body. It'll be available for purchase on 12/17 (so importers, get ready!).

We'll upload images as soon as we get them. In the meantime, you can download Final Fantasy VIII from the Japanese PlayStation Store for 1500 yen.