GAME CONSOLE OWNERS STREAMING MEDIA USAGE INCREASES SIGNIFICANTLY

New data from Nielsen suggests that console owners are using their Xbox 360, PS3 and Wii game consoles to stream video content more than ever before. “Streaming now represents a reported 14 percent of Xbox 360 time, 15 percent of PS3 time and 33 percent of Wii time,” Nielsen said Wednesday. The market research firm explained that the growth in time spent streaming was driven by services such as ESPN 3, Netflix, MLB Network and Hulu, but that time spent using consoles also increased overall. Console usage during the first half of 2011 jumped 7% from the same time period last year. Nielsen said gaming is the most popular activity on Xbox 360 (34% of usage), the PS3 is most used for DVD/Blu-ray viewing (22% of usage) and the Wii is used most for offline gaming (55% of usage)

SONY CUTS PRICE OF PS3 TO $249

Sony announced on Tuesday that it is lowering the price of its 160GB PlayStation 3 console to $249, down from the console’s original $299 price tag. In addition, Sony will now sell the 320GB version of the PlayStation 3 for $299 instead of $349. The Japanese consumer electronics firm also dropped the price of the system in Japan and in Europe. The move is likely an effort to tackle Microsoft’s Xbox 360 console, which has been the best-selling console in the United States for past seven months according to the latest data from The NPD Group. Recent rumors have suggested Sony is already working on the PlayStation 4, which could launch as soon as next year to compete with Nintendo’s Wii U and Microsoft’s next-generation Xbox.

ANGRY BIRDS COMING TO NINTENDO DS, PSP AND PS3

In an interview with The Sun, Chillingo's Joe Wee announced the company's intentions to bring the feathery dive-bombers to the Nintendo DS, as well as Sony's PSP and PS3. Wee was otherwise tight-lipped about the development, leaving us to wonder when we can expect the winged swine slaughterers to make their dedicated gaming debut. And here we thought it was just a passing fad.

SONY LAUNCHING NEW PS3 MODEL WITH PS2 COMPATIBILITY

Microsoft is set to introduce a new model Xbox 360 Slim. The benefits of the hardware update include the CPU, GPU, memory, and logic all being on one piece of silicon. That in turn means less power consumption, less heat, and a smaller power brick.

Sony in turn has announced a hardware update for the PlayStation 3, but this one could potentially be a lot more popular than Microsoft’s update. The reason why? PlayStation 2 compatibility is mentioned, although remains far from being a definite feature.

The new PS3 carries the model name CECH-3000B. It will come in both 320GB and 160GB models with the former weighing 2.6kg (down from 3.0kg). Externally it looks exactly the same except for the power and eject buttons getting a slight design tweak.

Specifics as to what Sony has changed internally are not available, but we suspect a similar silicon shrink to the Xbox 360 as Sony has managed to cut power consumption from 230 to 200 watts.

vMost intriguingly, the translated official Sony information page for the updated machine mentions PlayStation 2 compatibility. Specifically it says in the notes at the bottom of the page that:

“This product, “PlayStation 2″ are having a compatibility with proprietary software.”

It could be a mistranslation, or it may be Sony bringing back backwards compatibility now that they’ve figured out how to do it in software.

PS2 compatibility came as standard on the original PS3 due to the inclusion of the Emotion Engine chip. But with the slim redesign that chip was dropped and with it went PS2 game compatibility.

REDBOX RENTING GAMES FOR PS3, XBOX 360 AND WII

Exactly as promised, Redbox is today inaugurating a new branch to its media-renting venture with the introduction of video game rentals at $2 a day. There's a pretty rich and fresh selection on offer, including the likes of Duke Nukem Forever, Dirt 3, and Brink, and you can reserve your copy online before moseying down to your nearest Redbox kiosk to execute the transaction. About 5,000 of those crimson encasements have already been partaking in the testing of this service, but now Redbox is flipping the switch on the other 21,000 across the US and making things officially official.

NINTENDO CAUGHT USING PS3/XBOX 360 FOOTAGE IN E3 KEYNOTE

Nintendo's E3 2011 keynote yesterday gave the world its first official look at the all-new Wii U hardware plus (we thought) a glimpse at the graphical capabilities of its next console. As it turns out, the impressive list of upcoming games for the 2012-bound console was just that, a list, with the visuals we saw on screen coming from PS3 and Xbox 360 versions of said titles.

Nintendo of America chief Reggie Fils-Aime has confirmed that to be the case in an interview with GameTrailers, where he also points out that the eventual Wii U games will look at least as good as their PS3 / 360 counterparts. Which is why, in his eyes, it's okay to show us those games being played on the competition's (current-gen) hardware. He does remind us that the Wii U will be delivering graphics at a 1080p resolution, and points to the garden tech demo that also graced E3 as an indicator of what can be done with Nintendo's next console.

SONY PLAYSTATION 3 ADDS VIDEO ON DEMAND FROM BEST BUY'S CINEMA NOW

Sony planned the PlayStation 3 from the start as a movie playing powerhouse, but it may not have predicted so many would end up using it for Netflix streaming. CEO Jack Tretton hit the stage at the company's E3 keynote to announce it is the leading Netflix streamer, accounting for 30% of the video watched on the service.

While this is somewhat surprising maybe it shouldn't be -- consoles far outpace other TV connected streamers in install base, and between the Xbox 360, Wii, and Sony's box, the PS3 is the only one that lets you watch without an additional subscription and in HD.

Also announced is a new partnership bringing video on-demand movies from the Best Buy-owned CinemaNow service. With any luck, the retail giant will add a subscription element or partner with Redbox and make this interesting, but until then it's just another footnote on the list of providers currently offered on the PS3.

SONY TO REMASTER SOME PSP TITLES FOR PS3

The HD collections of past game series have proved popular for Sony. But it looks like the raiding of back catalogs isn’t just going to stop with consoles games, Sony is now looking to its handheld titles for new releases.

A new range entitles the PSP Remaster collection will bring exiting PSP titles to the PS3. These aren’t just ports, though. Sony intends to spend time updating the visuals in each game to be HD quality as well as adding support for Dual Shock 3 force feedback, and 3D.

Existing owners of Remaster games on PSP may be tempted as new content will also be created for each title. So not only will you be playing some of the most popular PSP titles on PS3, you’ll most likely have new levels, characters, even a whole new storyline to indulge in. We also suspect multiplayer features will play a key part dependent on what games are remastered.

If you own the game on PSP and PS3, then save games can be shared across both platforms. That means while you’re at home you can enjoy the HD visuals, but then carry on playing while on the move using your PSP from your last save point. Vice versa when you return home and switch back to the PS3. Sony’s recently announced cloud save service for PlayStation Plus subscribers is sure to play a part in this feature.

GAME MAKER ROCKSTAR SUGGESTS LATEST SONY PS3 FIRMWARE CAUSING OVERHEATING

Rockstar, the developer behind hits like Grand Theft Auto and L.A. Noir, is reporting that the latest 3.61 firmware update for the Sony PS3 is causing units to overheat. “We have received some reports of PS3s overheating while playing L.A. Noire or beeping three times before shutting down / turning themselves off, mostly on older 60GB and 80GB fat models,” Rockstar customer service team said on its support page, as reported by MCVUK. The developer suggested that the problem is not limited to L.A. Noir and that gamers are experiencing the same issue on other titles — the red light or PS3 freeze usually occurs 30 minutes to 2 hours into gameplay.

SONY'S PLAYSTATION NETWORK PASSWORD RESET PAGE HACKED

According to reports from numerous gaming sites, the password reset page for Sony’s PlayStation Network has been exploited. Sony built the page in an effort to allow users, whose accounts were already compromised during a major security breach last month, to reset their security credentials.

However, hackers who stole the information from Sony can reset users’ passwords by knowing an account holder’s email address and birthday — information they’ve already stolen. Forum members on Nyleveia have suggested that PSN users create a new email address specifically for use with PSN.

Sony has taken the website offline, and said: “Unfortunately this also means that those who are still trying to change their password via PlayStation.com or Qriocity.com will still be unable to do so for the time being.”

SONY BEGINS PHASED RESTORATION OF PLAYSTATION NETWORK

After three weeks of waiting, and to many PSN users’ delight, Sony’s PlayStation Network is finally coming back. Sony Computer Entertainment CEO Kazuo Hirai announced on Saturday via video that Sony will begin a phased restoration process of its PSN services. Hirai said the company has been working “around the clock” to bring he services back online.

A mandatory firmware update on PS3 consoles is required to restore PSN service. This update, v3.6.1, will require that users change their passwords, which is understandable seeing as Sony confirmed earlier this month that over 23,000 credit card numbers and bank information had been stolen. Your new password can only be changed on the same PS3 in which your account was activated, or through a validated e-mail confirmation.

Patrick Seybold, Sony’s Senior Director of Corporate Communications and Social Media, said in a blog post that the restoration process has started and some states already have access. He asked users to be patient as the restoration reaches more cities and states. You can visit Sony’s blog to see an updated map with locations in which service has been restored. It will take “several hours” to get the service back online throughout the entire U.S.

REDBOX TO OFFER GAMES IN KIOSKS; GAMESTOP TO START STREAMING GAMES 'EVERYWHERE'

Redbox's famous red disc-dispensing kiosks will start spitting out video games starting on June 17th, offering titles for the PlayStation3, Xbox 360, and Nintendo Wii for $2 per day.

The new game rentals have been in testing at about 5,000 locations around the country for some time now, but Redbox says they’re finally ready to expand the program to their other 21,000 kiosks. According to the press release, video games will be introduced at the same time as Blu-Ray discs at Redbox locations nationwide. “Redbox will make discovering the latest games as easy as a trip to the local grocery, convenience, or drug store,” according to Redbox’s VP of Games, Joel Resnik.

Meanwhile, GameStop's Spawn Labs' offers a cloud-powered game streaming service, enabling users to enjoy their favorite console games on connected devices with substantially less horsepower. Back in March, Spawn was acquired by retail giant GameStop — and it looks as though you might soon be playing Xbox 360 or PS3 games on your Android tablet as a result.

Joystiq has discovered several job postings which are aimed at developers who can help the company port Spawn’s player software to Android and Linux. As an added twist, GameStop is also hoping to put its acquisition of Impulse to good use when its “new consumer interface” for Spawn is ready to rock.

Impulse is a digital content distribution service like Steam, and it even sports the unsurprisingly similar domain name impulsedriven.com (compared to steampowered.com). GameStop President Ton Bartel foresees pairing Spawn and Impulse in order to offer users the ability to stream its library of 1000-plus games on-demand.

NETFLIX AND AT&T WIFI COMING TO NINTENDO 3DS

Satoru Iwata and Reggie Fils-Aime of Nintendo talked about the 3DS, just launched in Japan, at GDC 2011 today. Netflix will be available with the ability to pause it on the 3DS and continue watching it on your Wii (or Xbox 360 or PS 3 we assume).

A wireless 3D video channel is coming too that will push Nintendo-selected content like movie trailers (Green Lantern's coming soon), music videos, and comedy shorts to the device. And if you want to make your own, Nintendo's enabling 3D video recording as well.

Nintendo is partnering with AT&T to give users free WiFi access to over 100,000 hotspots in the US, starting in late May.

RUMOR: SONY DISCONTINUES PS4 DEVELOPMENT

When Sony revealed the PSP 2 (NGP) it was hard not to be impressed. A handheld machine that looks powerful enough to match a PS3 in terms of graphics combined with dual thumbsticks, an innovative touch panel on the back, and the promise of a price point gamers can afford.

It’s clear Sony has spent a lot of time getting the successor to the PSP right. But a rumor coming out of Japan suggests the PSP 2 may be the successor to the PS3 as well.

According to Japanese website PC Watch:

Hiroshige Goto says SCEI suspended PS4 development. They were working on a PowerPC based system at IBM Rochester after the Larrabee fall out, then shelved it. They are betting the farm on PSP2 as they expect handhelds to displace consoles.

If true, it would mean the PS3 is the last home console Sony plans to produce, instead turning to a handheld-only strategy for games.

RUMOR: NEXT PS3 UPDATE TO INCLUDE 'ONLINE SAVING'

Kotaku is reporting that the next firmware update (v3.6) for the PS3 will contain the ability to save games to the cloud. During the NGP presentation, guest speaker Hideo Kojima specifically referred to saving your PS3 game on the console and resuming it on the Next Generation Portable. "Online Saving," as Sony's reputed to be calling it, would be the conduit through which that can be realized, though it doesn't appear like it'll come for free. Kotaku's sources indicate it'll be part of the PlayStation Plus subscription.

PS3 UPDATE 3.55 ADDS 'SECURITY PATCH'

Prepare to be prompted to update your machine, version 3.55 hitting the internets and offering a single thing: "a security patch." No word on exactly which holes are being spackled over, but the 'security patch' probably has something to do with harassing modders. [Engadget]

NETFLIX ACCOUNTS FOR 20% OF PEAK DOWNSTREAM TRAFFIC IN US

Netflix, who started out as a DVD by mail service, has recently made a big push in the streaming world.  Its streaming traffic now accounts for 20% of peak downstream as more and more people take advantage of the quick access.  Not only are people's usage increasing, but the number of devices Netflix has streaming capabilities on has increased.  From the major gaming consoles, PS3, Xbox 360 and Wii to having the service embedded in the television Netflix appears to be everywhere, which is exactly what founder and CEO Reed Hastings wants.  Hastings recently stated Netflix is "“primarily a streaming company that also offers DVD-by-mail.”  Netflix is expected to offer a streaming only tier in US, like Canada currently has, in 2011. [Geek]

WII NETFLIX GOES DISCLESS

First it was the PS3 to get the discless Netflix treatment, now the Wii goes discless.  North Americans will be able to download and install Netflix from the Wii Shop Channel.  Once installed users will be able to stream the growing Netflix TV and movie catalog almost instantly.

Anyone have any idea what do with the estimated three million Wii discs that are now useless? [Engadget]

PS3 NETFLIX GOES DISK-FREE, GETS 1080i AND 5.1 SURROUND SOUND

Netlix and Sony have announced that starting November 18th PS3 users will no longer have to use the special disk to stream Netflix content.  In addition Netflix will be streaming their content in 1080i, versus 720p for all other devices, and 5.1 surround sound.

Netflix has partnered with Dolby to offer the 5.1 surround audio, named Dolby Digital Plus.  Netflix did say that 5.1 surround sound would be coming to other devices "over time". [Gizmodo]

PLAYSTATION3 GETTING 3D PLAYBACK SEPT. 21

After being delayed, Sony, announced at the Tokyo Game Show, will be releasing an update for the Playstation3 on September 21st.   This update will give the PS3 3D playback capabilities, provided you have a 3D capable television.  [Playstation Blog]