Sony’s PlayStation division finally has some good news, or at least some signs of it, amidst disappointing financial reports from Sony. Although the PlayStation group has reportedly lost 4.7 billion dollars since it launched the PS3 console, sales seem to be picking up.

Adding up its second-quarter results, Sony reports 3.2 million sales, a 1.1 million increase over the same quarter a year earlier. The same period also saw a signficant increase in game sales for the PS3 console.

Meanwhile, Sony’s little-engine-that-could, the PlayStation 2, is finally showing signs of decline. The system has been selling comparably to the PS3, as well as other current-generation competitors, the Xbox 360 and Nintendo Wii. Now, the PS2 has declined to 1.9 million in sales with only about half of the total games sold compared to the previous year.

The PSP also had a bit of a decline, dropping from 3.2 million to 3 million in sales, though game sales are up.

Sony bet heavily on the long-term adoption of its technically-superior PS3 console when it realased the device in November 2006. The console had to compete with the Xbox 360, which was out a year earlier, and Nintendo Wii–both of which had lower price-tags and comparable, or arguably superior, game libraries.

Adoption of the PS3 has been slower than Sony expected, but if sales continue to rise there’s hope for the PS3 yet.

A new model of Sony’s PlayStation Portable (PSP) — the PSP-4000 model — will feature a sliding screen, VG247 claims to have learned today.

The news means that recently-surfacing concept images of a new PSP model may be close to the handheld’s actual redesign.  The PSP-4000 may look a little like the Game Boy Advance SP when the controls are exposed during gameplay and may, presumably, be closed for video playback.

Sony has been adamant that it isn’t working on a PSP2 console yet, and the news that the next PSP model will be a drastic redesign explains that statement — Sony wants to focus on the updated model (and its sales) before marketing the next big handheld.

The new PSP model is rumoured to be due out sometime in 2009, although Sony has yet to make any official announcement about the model’s design or release.

Sony has announced that over 21 million PlayStation 3 consoles have now been sold worldwide, with 17 million accounts registered on the online PlayStation Network.

The announcement comes alongside news that Sony plans to take on Latin America by releasing its PS3, PS2 and PSP systems there.

The company’s phased approach involves eventual expansion to thirteen countries in the area, beginning with Argentina, Chile, Columbia and Peru in the first phase.  Sony also plans to set up a localized PlayStation Network in the area.

Ian Jackson, VP of sales at SCEA, has high hopes for the region.  “Long-term it has a very good opportunity to be bigger for SCEA than the Canadian market was,” he says.

Rumors have surfaced of late regarding plans by Sony to develop a new model of their PlayStation Portable (PSP) handheld. Sony has stepped in, however, to dismiss the rumors.

“No, there are currently no plans for a PSP2,” David Reeves of SCE Europe tells MCV. “I go to Tokyo quite a lot, and no one there has referred to it. I think they have their hands full at the moment.”

No PSP2 quite yet.