Sony and Netflix said in the release that Netflix movies will be enabled by a free, instant streaming Blu-ray disc that will be sent to all Netflix members.

But Swasey told G4TV that an "embedded solution" will be offered at some point, eliminating the need for the disc.

The disc will allow users to access the Internet and activate the Netflix user interface on the PS3 system, which must be online to watch the Netflix movies.

Kindle Wireless Reading Device: $259

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