Rumors have been flying around like crazy lately concerning the PS3 and it looks like Foxconn has confirmed at least one of them, maybe more.

Foxconn and Pegatron have landed a contract with Sony, each getting 50% of the orders on a new PS3. This would be the newer, slimmer redesign that many have been eagerly awaiting. Pictures of the slim PS3 were spotted and Sony swiftly sent a cease and desist notice to have them removed, adding some credibility to the spotting.

There have also been many rumors about a price drop and this could very well be where that is coming from. Not only would a redesigned PS3 be cheaper to produce, but to eliminate existing stock of the soon-to-be older PS3s, a price drop would help bring the slimmer PS3 to the maket sooner. Foxconn is supposed to be shipping the new PS3s sometime in July so that price drop could be just around the corner.

This leaves the rumor of Sony bringing back backwards compatibility to the PS3. This one will have to wait until later, perhaps officially from Sony. It might come with the new PS3s or as a firmware update down the road, or never at all.