http://biz.gamedaily.com/industry/feature/?id=12964It's no secret that the PlayStation 3 is going to cost Sony a fortune to mass produce, but Kutaragi is hopeful that costs can be reduced. To begin with, he said that he expects the Cell chip to adopt a 65-nanometer process sometime next year, allowing it to be reduced in size. Also, the Cell processor will utilize Tranmeta's LongRun power-management technology to keep power consumption as low as possible. Power consumption is of utmost importance to keeping costs down, Kutaragi noted. "If we can't reduce [power consumption]," he stated, "we will never be able to make the PS3 cheap and small."
Finally, Kutaragi talked about how to cool the Cell processor, and judging by his comments, one might think that Sony would make the power supply external for the PlayStation 3, similar to the Xbox 360's infamous power brick, which is almost as tall as the Microsoft console itself.
"We'll use heat pipes and a custom cooling solution, but the methods used will be common," he said. "We definitely aren't using any proprietary methods... We certainly couldn't fit a liquid cooling system [inside the PS3]... We're spending a lot on heat and electromagnetic interference [management]. The power supply could almost be sold separately."