Just announced at GamesCom. Smaller, lighter, less power usage, non-reflective, 120GB HDD. $299, and all current PS3s on shelves just dropped to $299. Slim model available first week of Sept.
EDIT
Figured I'd add this here. PSP getting "Minis" on PSN.
-Mini Games-
. We're announcing Minis. Smaller games, taking advantage of the smaller development cost on the PSP.
. These will be exclusive to the PSN Store and will have a 100MB size limit.
. 15 new games available at launch on 1st October. 50 titles coming in 2009.
. Tetris and Fieldrunners, are two examples.
. Also spotted Hero of Sparta and MiniGore.
Pretty much Sony taking a stab at the iPhone app store games, which is fine by me.
Also there was an announcement for a Digital Reader and the ability to buy and download comic books. PSP version that I know of, wasnt clear on a PS3.