Sony intends to offer technology that will allow users to stream PlayStation 3 games on its forthcoming PlayStation 4 console, according to the Wall Street Journal. This latest speculation surrounding the next generation of the popular video game console comes ahead of its expected revelation in New York later this week.

According to the report, "people familiar with the company’s plans" have said that the new system will enable users to play games delivered over the Internet and is designed to use current PlayStation 3 titles, in addition to the ability to play new games stored on standard optical discs. The report also points out that the move doesn’t come as much of a surprise since Sony acquired Gaikai, a company that used to offer light-weight streaming games, last July.

The introduction of streaming titles could prove to be very significant, potentially ushering in the introduction and rise of cloud gaming, giving gamers direct access to a wide range of titles across devices. The system will also make it possible for Sony to introduce its own online game rental service.

Sony declined to comment on the rumour. Stay tuned to ITProPortal, where we'll be covering news of the announcement on 20 January.