Sony's virtual world is much more sophisticated than Microsoft's, according to Michael Cai, a video-game analyst at Parks Associates. Sony has been working on Home for years, and it's a more complex offering. While Cai doesn't think the virtual-world component will rise to become a major competitive differentiator over the short term, that could change.

"Because Sony took a step further with Home, the graphics are so advanced and you can do much more than just create an avatar for yourself," Cai said. "You can roam around, you can go into different theaters and rooms to experiment with new game demos or watch movie trailers, or you can go into a lobby and play with some other avatars to warm up a little bit before you make new friends."

"If you turn on your PS3 every day and you go into the virtual environment, you can not only say hi to your real friends with a virtual avatar but also go into other environments and play games or watch a movie together," Cai said. "It's definitely going to appeal to a lot of people."

From the article, "Microsoft, Sony will Launch Competing Virtual Worlds" by Jennifer LeClaire

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