http://games.kikizo.com/news/200602/065_p1.asp
These guys claim a developer snuck them inside for some info.
Highlights include:
"The stylish PlayStation 3 casing design that SCEI boss Ken Kutaragi revealed last year is, and always has been, empty - and no signs of a final, tangible casing solution appear to be in sight. "I think to fit everything that Sony wants in there AND leave space for a 2.5 inch hard drive," explains one senior developer working on a final kit, who will be our guide for much of this report, "the machine would have to grow. The models they're showing off are way too small for what they want."
" So we have a USB controller plugged into a machine and we're playing a game off a hard disc with not a trace of BluRay technology evident in the building. "PS3 isn't going to have writing capabilities and for us that's of no concern right now. Our stuff runs off a Hard Disc at the moment and won't exceed DVD capabilities; we're programming the game as if it will be written for a 10-speed DVD drive. Anything less would affect load time."
"The hands-on evidence is beginning to mount up. We're talking about a machine barely superior to Xbox 360 - not by any significant margin. It's certainly obvious
this machine is not "twice" as powerful as 360, let alone a generational leap ahead."
"Sony wanted 1080p, but we're working at 720p and 1080i, same as on the Xbox 360. Even with [final hardware] in mind, reaching good frame rates at 1080p with next-gen graphics is almost impossible. Instead many developers, ourselves included, are reworking so they run at 720p."
Launch:
"We think that in Japan it will most likely release during Summer, Q4 in the US, and Europe in Winter or Spring 2007 - these are our internal projections." And right now, it seems most observers would agree."






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