Sony officially confirmed that the PlayStation 3 will use Blu-ray discs at the PlayStation Business Briefing held in Japan today. In addition, the company is working towards making the platform compatible with PlayStation 2 and PlayStation games.

The Blu-ray Disc ROM (BD-ROM) will store up to 54 GB on a single (two-layered) disc, more than six times what dual-layered DVD-ROMS hold. Competing with the High Density DVD, a format which is easier to make backwards compatible but holds much less space, PlayStation father Ken Kutaragi justified the move by asserting that the limiting factor in next-generation games will be disc space.

In addition to video game consoles, the Blu-ray technology will also be used in other media such as video and PC software.

Kutaragi also confirmed that work is underway to make the PS3 compatible with previous generation PlayStations, but that challenges lie ahead. "[Backwards compatibility] is our desire and it's something we need to take on. We really want to make backwards compatibility happen--we think that's the beauty of the PS," said Kutaragi.

Then next-gen PlayStation will be unveiled at next year's E3 in May, and will make its playable debut at the 2005 Tokyo Game Show.