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Adinnieken said:

What is the difference between building something on board, and putting it into a module that attaches to the console?  None, save for cost. 

The PS4 would simply go into a standby state while the PS3 module took over control of the hardware.

Big difference. The maximum power consumption a PCIe 3.0 slot can provide is 75W. That means if you cram a PS3 into an external module, it needs its own power supply too. Ok now how can you sell a $70-100 module with PS3 components when PS3 costs more than $200? Even without BluRay and HDD, I doubt this module will be cheap. How do you propose this module will be cooled exactly? You are going to end up with a PS4 and PS3 massive module stacked on top of it like a giant hardware sandwich? I think this would be awkward. Why would a PS3 owner go out and spend $70-100 extra to play PS3 games if they still have a PS3? If Sony follows along a similar strategy as they did with PS2, PS3 will fall in price to attract gamers who cannot afford a more modern console. I think Sony will try to push PS3 itself closer to $149-179. The module just seems like an added expense that will hardly be a convenient solution.

Instead, just like Sony pushed BluRay to become a successor to DVD, they should push Cloud gaming as the next big thing in console gaming. They should just make all PS1, 2, 3 games on the Cloud for PS4 owners. If they take it a step further and remaster PS3 games in FullHD, people might spend $ to replay GT5, Uncharted, GOW series in FullHD on PS4 as well.