Now some reporter (he deserves a raise for this) realized that they were just playing House of Flying Daggers off a regular DVD player instead of a Blu-Ray player.
Wow I really thought Sony couldn't get any lower. First, they lose the mp3 market to the iPod when they should have had it in the bag with the Walkman. Then, they pre-render gameplay footage of the PS3 in E3 2005. Next, they over-price the PS3 and it turns out the PS3's graphics will be very similar to the xbox 360's. Combined with the fact that low-end PS3 will have almost no features Sony is sure to find even more space in that hole of theirs. RIP.