Sony Ericsson is said to be working on the hardware, software and service infrastructure that will allow it to launch a handheld game device running Android 3.0.
The lack of any Sony Ericsson smartphone supporting version 1.6 of Android may cause scepticism in some, but insiders are apparently aware that a significant investment has been made by the manufacturer and the development process is allegedly well on the way to completion.
Sony Ericsson's gaming smartphone hybrid will attempt to act like the PlayStation Portable Go combined with a high end touchscreen mobile. This means it will have a slider mechanism that allows its physical gaming controls to remain hidden when not in use.
In place of a traditional analogue stick for movement controls, the Sony Ericsson device will use a touch sensitive pad and it will also carry shoulder buttons. A large screen of up to 4.1 inches in size will feature on the front, while a five megapixel camera could find a home on the rear.
Powering the smartphone will be a 1GHz processor that is currently installed in the cream of the Android-based crop and Sony Ericsson may put both the Xperia and PlayStation branding on the body of the phone to appeal to the widest possible audience.
Big news for Android fans is the fact that Sony Ericsson has been working with Google on the product, with the result being that a new section of the Android Market dedicated to premium quality games may become a key feature. Ideally this will trickle down and become available on all Android smartphones after a period of exclusivity.
Sony Ericsson has been demoing games for the new smartphone and it is pulling titles from the original PlayStation and current PSP libraries, with heavy-hitting franchises like God of War and Call of Duty set to make an appearance.
Sony Ericsson could have the smartphone ready for launch by October, according to Engadget, although this will require official confirmation.
Android may be a rival to the iPhone in terms of sales figures, but as a gaming platform it falls short of Apple's offering. By introducing Android 3.0 on a dedicated gaming platform created by Sony Ericsson, Google could be adding one more notch to its belt.