Sony will be releasing a micro console sometime this year called the PS Vita TV in Japan for only $95.
According to Fool.com, the PS Vita TV will be comparable to Apple's set-top box.
The console will be heading to Japan four months before they get the PS4, and is expected to be a huge hit because of the popularity of online gaming there with the handheld Vita and the Nintendo DS.
PS Vita TV will have the ability to stream online content plus offer users a huge library of PSP, PS Vita, and even PS1 games.
The console is expected to have Hulu, Amazon Prime, and Netflix, and perhaps even its own TV service.
Sony recently signed a deal with Viacom which will allow the PS4 to have some sort of subscription-based television streaming service.
Extreme Tech is reporting PlayStation TV will be able to interact with what the viewer is watching by putting up overlays on the screen. In addition to this, the deal with Viacom will give Sony access to all of their television properties including, MTV, Comedy Central, Nickelodeon, and VH1.
This system will change the way cable and television is watched because the PS4 will act as its own cable service and stream live television rather than waiting until it gets posted to a third party service such as Netflix or Hulu. This would also mean a cable provider would not be needed. The PS4 will handle everything.
Sony is also looking to secure deals with Disney and Time Warner Cable as well, reports Extreme Tech.
The service will be available to the PS3 and their brand of televisions as well, and is expected to be made available by the end of the year.