The two companies make a good combo.

PSP2 Android perhaps? Phone perhaps? Looks more and more likely (and im excited :)

I wonder if Sony is trying to position things so that it's Vaio products can eventually ditch the Windows platform, or at least allow buyers to choose between Windows and an "Other OS".

Can you still buy a Dell pre-loaded with Ubuntu (and no Windows) or has Dell ditched that option now?

read on:
Google's TV ambitions scrambled into view last month, when the NYT outlined the company's plans. Today, we learn a little more: Google—with Sony—is making an announcement next month, around a version of Android called Dragonpoint. UPDATED

Dragonpoint! We've reached out to Google for what on earth this is—it could be anything from a codename for a new widget interface to a whole new fork in the Android project—but here's what we're working with now. Says Bloomberg:

Sony, aiming to win back share lost to Samsung Electronics Co. and LG Electronics Inc., would use Intel and Google to help produce televisions and Blu-ray DVD players with Internet access. Intel, whose processors run 80 percent of personal computers, wants to get its chips into new areas, including mobile phones and consumer electronics...

...Intel is contributing a customized version of its Atom chip that will run a new version of Google's Android operating system called Dragonpoint.

Sony's Blu-ray players/set-top boxes boxes/TVs will run Android atop a variant of Intel Atom processors—odd, but not unheard of—and almost certainly incorporate video acceleration, if not in the for of Nvidia's Ion, in a similar product from Intel themselves. Logitech will make a special keyboard-y remote. It's nice to have some new details here, but this info falls well within predictions from last month. Except, well, the Android part.

What Google is facing in adapting Android to be suitable for TVs is nearly unprecedented. Desktop operating systems like Windows have to be massively overhauled to be functional in a TV context (see: Windows Media Center). To adapt a mobile OS to TVs is something else entirely: easier in some ways, since the OS is already suited to remote-control-style navigation, by virtue of having been built around devices with d-pads and a handful of buttons; and harder in others, since it was designed for use on palm-sized screens.

What we'll probably (hopefully?) see here is a piece of software with an heretofore unseen interface, bearing virtually no resemblance to the Android we're used to. And that's fine! The point here is to lay the groundwork for connected TV software that any manufacturer can use, that's built on a real, internet-centric operating system, and which gives developers a platform that they can write for that isn't doomed by brand exclusivity or general crappiness. On another note, this is a rare chance for Sony to get out in front of everyone else on a genuinely exciting new concept, so, yay Sony!

PSP2 could be dangerous for Nintendo.

Nice

And "possibly" Apple :)

this is all very interesting.
PSP2 with phone and Android would be killer.

Killer for Sony. It seems people don't learn. It would cost too much, would have more features than needed, and it wouldn't be a videogames console, it would be an all in one which isn't the best way to sell your machine, unless you're apple.

... I don't like this...

If its just Sony and Google working together then yes they will probably benefit. However if Google works with all TV manufacturers it takes yet another point of differentiation out of the hands of Sony and it could therefore commoditise the TV market further.

With Google TV etc, who would want to use PSN for instance? Google is fast becoming the Microsoft of pretty much every segment they enter, and just like Microsoft they will be the ones reaping the majority of the profits.