“I am excited to be able to work with SOE even more closely, as online games and services become a more integral part of the PS3 entertainment experience,” Hirai said. “This new structure will allow us to take full advantage of the extensive breadth of expertise of the two companies and increase our range of exciting entertainment offerings to our consumers.”

San Diego-based SOE is currently part of Sony Pictures Entertainment. Under the new structure, SOE will continue to develop its games for the PC and the PS3, and SOE President John Smedley will report to Hirai.

“We are thrilled to become a part of the incredible team that has made PS3 the premier platform for next generation online gaming,” said Smedley. “This move is going to broaden our capabilities and expand the development of our products into new and exciting directions.”