It is believed that the reason for this is to help combat piracy - importing is the one justification for mod chips and swap-discs, but with region locking no longer a problem, it will be easier to crack down on the pirates. On top of this, games will be able to be released simultaneously worldwide. Of course, this could cause issues on 50hz games played on 60hz televisions, and vice-versa. But, with most recent TVs this should not be an issue.
More details on Sony's online service were also revealed. It will be available at the console's launch, with a free service available. There will also be downloadable content, as well as 'micropayments', which can be used to buy small game features. Video chat will be supported, while messages and contact lists are a given.
Harrison also had a few other bits and pieces during his speech at GC. The 'final' PS3 design - including the controller - will be revealed in May. At E3, no doubt. Game footage was also shown - namely of Ratchet & Clank, Warhawk, Resistance and Motorstorm, along with various others, as we reported here.
We'll have more as it filters out of the conference.


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