December 23^rd, 2001 (12:00am) - Sony confirmed that they are aggressively pursuing their online gaming goals in a recent statement to the Japanese press. SCEI said they are partnering with Japanese network company usen Corp. to provide broadband services to distribute PS2 games and other content online. usen will provide network services to host a broadband network, and will receive PS2 40 gig hard drives and 100Mbit ethernet adapters for lease to their subscribers. The report also mentioned that Sony plans on saving costs on CD/DVD duplication by distributing games or game content online.

"With the shift to online-based distribution of game software, we will be able to cut CD and DVD production costs and sales promotion costs for retailers," SCEI President Ken Kutaragi said. "We are looking forward to tie-ups with more broadband operators, if there is an opportunity."

SCEI has sold 23,000 hard drives in Japan through on-line channels, but some industry anaylsts remain skeptical that the relatively expensive ($200 USD) peripheral will not go over well in the states, where such items have traditionally failed. It’s been reported that Sony is preparing a PS2/HD bundle which will include a PS2, a 40gig drive, and the broadband adapter for the current price of $299...certainly something worth crossing your fingers for.