Our favorite inside source has given us a heads-up on what to expect from both Sony and Microsoft this year in hardware packages and pricing. The path to the holidays is a rosy one, with more hard drive space inside the systems at a lower price. Here's what we can expect.

Since we can't name the source, we're treating all this information as rumor, but the Mole's reputation in the industry for breaking large stories, a long history of being first out of the gate with big announcements, and an outstanding track record for accuracy speak for themselves.

Sony and the PS3...

Those of us with 60GB PS3 hardware–with fully-working backwards compatibility–live in constant fear of something happening to our precious. There is nothing that beats the ability to play three generations of PlayStation games. According to Siliconera, however, Sony may be working on a surprise to bring that functionality back to newer systems.