Hmmm... Charlie Demerjian in Taipei is the reporter, and he is one of the few who are usually right on. As far as the source, it was a confidential source (remember, they are going to a Sony conference, and he was probably one of the said software developers). Anyhow, Charles has written some very good info columns and does not tend to BS. From what I've read, it looks like Sony is completely bipassing the local memory and having it all written to main memory... other sites state that the local memory will rarely used. I honestly hope not, because this will cripple the system. I tend to like the games on the xbox better compared to the pre generation PS/xbox wars, and will more than likely stick to my current 360, HOWEVER people have to realize that no competition leaves a stagnant market and does not drive inovative game titles. Sony couldn't live without Nintendo or MS (until another player enters the market), just as the others couldn't do without the competitor.