In case you missed the big news this morning, a rumored PlayStation phone was caught on video. From the looks of it, the device could give Apple’s iPhone a run for its money.

This isn’t the first time we’re seeing evidence of a PlayStation phone, but we haven’t seen the thing in action until this video leaked, purportedly showing a prototype device the Japanese giant has been developing for some time now. Looks like Sony took the phone part from Sony Ericsson, added a little bit of PSP magic, and wrapped everything into a stylish gizmo that combines touch controls with the physical buttons meant for games.

If the rumors are true, the device should be brought to market under the Zeus or PlayStation moniker and appear in Europe during February 2011. What’s best, it clearly runs Android, which is becoming an industry norm these days provided you aren’t Apple. 

The use of the PlayStation brand also suggests some sort of downloadable games akin to the PSP Go, if not the full access to the PlayStation Network for on-demand entertainment like music, movies, and TV shows (check out the PlayStation app in the video below).

Of course, I could be entirely wrong and maybe the Zeus will focus on Android Market games entirely and leave downloadable PSP games to its handheld counterpart. Or, Sony could leverage its gaming franchises and itself create a handful of exclusive titles. One thing to note: Whichever way you look at it, this smartphone-meets-Playstation type of gizmo looks pretty thick. 

That being said, we certainly don’t doubt its capability to create a huge splash given Sony’s credibility in the gaming space and the PlayStation brand recognition. Too bad, then, that Sony failed to deliver this in time for the all-important Christmas season.  

Source: Engadget