Sony Computer Entertainment America Executive Vice President Andrew House Outlines Vision for Playstation® Platforms

Keynote Address at Annual Game Developers Conference Designed to Spur Creativity of Development Community Toward Future Innovation

SAN JOSE, Calif.

Sony Computer Entertainment America Inc. today released details from the keynote address given this morning by Andrew House, executive vice president, at the 2004 Game Developers Conference in San Jose, Calif. The General Interest keynote, entitled "Encouraging Innovation in Game Development," explored innovation -- past, present, and future -- and how developers can take advantage of innovation in their own titles to create experiences that are unique, enjoyable and profitable.


House discussed a range of topics including hardware and software innovation that continue to reinvent consumer experiences, and first party software innovations that attract new game players and forge new gameplay styles. Highlights of the keynote address included details about: the 10-year lifecycle for the PlayStation®2 computer entertainment system and its benefits to the industry; online gaming as key to the future; and a progress report on PSP™, the company's yet-to-be-released portable entertainment platform.

"Innovation is absolutely the key to driving this industry forward," said Andrew House, executive vice president, Sony Computer Entertainment America during today's keynote address. "We are committed to developing the creative pallet with an open philosophy that enables developers to freely innovate. Together, this approach builds an audience, drives the market, and expands and reinvents consumer perception."

10-Year Plan Enhances Market Potential

House highlighted the importance of sustaining platforms lifecycles, showing how the 10-year plan for PlayStation® has forever altered expectations for platform longevity, and outlining the company's plans to mirror this strategy with PlayStation 2. Now in just its third year, sales of PlayStation 2 are already 38 percent ahead of the original PlayStation for the same time period. Such an unprecedented hardware adoption rate provides positive implications for PlayStation 2 sales: the company anticipates more than 60 percent of PlayStation 2 sales are still to come. House also emphasized the company's commitment to investing in future technologies that expand the capabilities of PlayStation 2, pointing to the EyeToy™ USB camera and its revolutionary motion-tracking technology. "American Idol" favorite William Hung joined Sony Computer Entertainment America on-stage to provide the audience with a demonstration of the first dancing game to utilize the technology, EyeToy™: Groove, scheduled for release in April.

Online Gaming Builds Bridge to Next Round

With more than 10 percent of the North American PlayStation 2 installed base now network ready, House articulated the company's plans to expand the audience for online console gaming even further. Defining online console gaming as the new frontier for future generations of gamers, House outlined the company's online plans including creating additional revenue opportunities for developers and publishers. House stated that compelling software content continues to drive adoption, and with more than 52 new online-enabled titles scheduled for release in 2004, the company is focused on migrating the massive PlayStation 2 audience online.

PSP™ Provides Ultimate Portable Entertainment Platform

House also provided a progress report for the highly anticipated 21st century portable entertainment system, PSP™. Scheduled for release within the company's fiscal year ending March 31, 2005, PSP will target early adopters and teens, with a focus on gaming as the killer application. Emphasizing widespread content development for the platform, House provided details regarding PSP support plans.

Chris Charla, senior producer and Mike Mika, creative director, Backbone Entertainment, joined House and provided a first-hand account of the PSP software development process. Charla emphasized the unique opportunities PSP provides developers including the ability to bring the home console experience to hand-held systems for the first time, and the ease of development for the platform. Mika then demonstrated the power of PSP with a premiere unveiling of Death, Jr.™ and announced that the title will be a PSP exclusive.

About Sony Computer Entertainment America Inc.

Sony Computer Entertainment America Inc. continues to redefine the entertainment lifestyle with its PlayStation® and PS one™ game console, and the PlayStation®2 computer entertainment system. The PlayStation 2 computer entertainment system is set to revolutionize the home entertainment market, offering the most compelling interactive content and the capability to be used as a network terminal in the coming broadband era.

Recognized as the undisputed industry leader, Sony Computer Entertainment America Inc. markets the PlayStation family of products and develops, publishes, markets and distributes software for the PS one game console and the PlayStation 2 computer entertainment system for the North American market. Based in Foster City, Calif. Sony Computer Entertainment America Inc. serves as headquarters for all North American operations and is a wholly owned subsidiary of Sony Computer Entertainment Inc.

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SOURCE: Sony Computer Entertainment America Inc.

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