SPOnG isn't exactly the most reputable source in the hallowed halls of online video game journalism, but they're claiming that Sony has little something something planned for Microsoft's launch of the Xbox 360 this fall: a cut in the pricing of the slim PlayStation 2 to somewhere between £60 to £70 in the UK. Supposedly they're also considering dropping the price on the PS2 to around $100 in the US, but you gotta wonder, even with a significant discount, are there really all that many people who are still in the market for a current-generation console?

[Via I4U]

It's only for the Japanese market—at least for now—but Sony's busted out a "Ceramic White" version of their new slim PlayStation 2. Exactly the same as the original black version, only now it stands a decent chance of not clashing with that slim PS2 Game Cradle you probably weren't going to buy.

Hey everyone, we're at Sony's press event in Culver City to cover their unveiling of the PlayStation 3 this afternoon. Things are just getting started, to stay tuned for our comprehensive live coverage on Engadget and Joystiq!

For the hardcore SquareEnix RPG fans out there, Hori has released the Dragon Quest Slime PS2 controller.  Sitting on your floor or shelf, this controller looks just like a Slime from the Dragon Quest video game.  Flip it, and you have a fully-functional Dual-Shock controller.  For those confused readers, Slimes are the most common monsters encountered in SquareEnix's Dragon Quest Role-Playing Game series.  They've become something of a Dragon Quest icon, with fan fiction sites and FAQs and other unmentionables.  For those in the know, you can get one of these from Japan for around $30.

The domestic release of the PSX, Sony's souped-up version of the PlayStation 2 that comes with a built-in hard drive and can double as a digital video recorder, keeps getting pushed back and pushed back (the earliest we've heard it might arrive here is 2005), and the latest news that sales have been so god-awful bad in Japan that retailers there have slashed prices almost in half, certainly isn't going to encourage the wise men who run the company to bring this out here any sooner. That is assuming they haven't just killed the thing altogether, which might not be such a bad idea at this point.

Reader David Anthony writes in with a question:

I'm wondering what the official story is. Gamestop and EB have no PS2s available for purchase and there's even short supply online at GameStop.com. I was told by employees that this was due to the fact a portable version of the PS2 coming (not the PSP) that will be much like the PSone and there will also be a price drop to $99.

It was pretty easy to debunk the part about the PlayStation 2 being in short supply—Amazon, EBGames.com, and other online retailers seem to have plenty of them for sale—but anyone know if there's anything to this rumor that Sony is planning a slimmed-down version of the PS2? We haven't heard anything too specific about this (besides the usual rumblings), but sales are definitely flat, so it wouldn't exactly be shocking to discover they were planning a PStwo to follow in the footsteps of the PSone.

UPDATE: It's for real. Get yr PStwo photos here and PStwo details here.

This winter Sony will release a follow-up to the original Eyetoy game, called simply, Eyetoy: Play 2.  The innovative peripheral has received little support from third-party developers, let alone Sony itself, but this new addition should be cause enough to dust off the old Eyetoy and plug it in again.  The camera will now be able to track motion (and measure the speed of that motion) and Play 2 looks to take full advantage of this feature.  The game includes 12 main events—including boxing, ping-pong, and a homerun derby—plus over 80 mini games.  Besides motion tracking, Play 2 will also introduce 'color cam' (turning brightly colored objects into controllers) & 'cutout cam' (superimposing the player onto the screen).

They must have some pretty l337 h@x0rs in the prisons over there because the Swedish Prison and Probation Service has elected to ban all PlayStations from cells because of fears they can be converted into devices for "making wireless communication" (we're guessing all coconut-radio style like the Professor from Gilligan's Island or something).

[Via we-make-money-not-art]

Technoregalos, a Spanish online retailer, is offering a Power-Pad-esque peripheral called, the Playxone, for use with PSOne & PlayStation 2.  Rest assured this is no throwback to the days of NES.  No, we're talking sensors strapped to your wrists and ankles!  We're talking transmitting, in real time no less, your movements onto the screen!  We're talking, well, that's about it…  I'm assuming this gadget works best (and maybe only) for 2D fighters (a la Street Fighter).  Maybe you can even do Tekken, who knows.  And what's up with all those DOWN buttons?