The story is more than one page, behold!
* PS3 will have online service that goes beyond xbox live
* PS3 will be a DVR
* It will connect with psp
* There are alot of games being worked on for it right now in the US (alot more then what people know about)
* The final ps3 dev kit is alot faster than they thought (according to the developer)
* The ps3 will have an itunes type service to let you download HI DEF movies, music, etc
* The Ps3 will take the media center functionality the 360 has even further
* PS3 will serve as a location free player for the psp, means you can watch the dvd's that you have in your psp on your psp (from anywhere in the world), or any other video files you have on your ps3, though this is still only being planned.
* PSP will be able to send its files straight to the psp from anywhere in the world, and it can also control its DVR functionalities
* Firmware updates will add more functionality, much like with the psp
* The Blu Ray Player functionality doesnt cost as much as a stand alone player because the Cell and RSX can take care of alot of the stuff the ps3 will need to do to be able to read the disks
* Fall release date for ps3, no release date for online service, but expected to launch w/ the system