It's going to be a doozy, and at least on paper beats the Xbox 360's performance.

Full specs after the jump.

CPU: Cell Processor
PowerPC-base Core @3.2GHz
1 VMX vector unit per core
512KB L2 cache
7 x SPE @3.2GHz
7 x 128b 128 SIMD GPRs
7 x 256KB SRAM for SPE
* 1 of 8 SPEs reserved for edundancy
total floating point performance: 218 GFLOPS

GPU: RSX @550MHz
1.8 TFLOPS floating point performance
Full HD (up to 1080p) x 2 channels
Multi-way programmable parallel floating point shader pipelines

Sound: Dolby 5.1ch, DTS, LPCM, etc. (Cell-base processing)

Memory:
256MB XDR Main RAM @3.2GHz
256MB GDDR3 VRAM @700MHz

System Bandwidth:
Main RAM 25.6GB/s
VRAM: 22.4GB/s
RSX: 20GB/s (write) + 15GB/s (read)
SB: 2.5GB/s (write) + 2.5GB/s (read)

System Floating Point Performance: 2 TFLOPS

Storage: HDD - Detachable 2.5" HDD slot x 1

I/O: USB: Front x 4, Rear x 2 (USB2.0)

Memory Stick: standard/Duo, PRO x 1
SD: standard/mini x 1
CompactFlash: (Type I, II) x 1

Communication: Ethernet - 10BASE-T, 100BASE-TX, 1000BASE-T) x 3 (input x 1 + output x 2)

Wi-Fi: IEEE 802.11 b/g

Bluetooth: Bluetooth 2.0 (EDR)

Controller:
Bluetooth (up to 7)
USB2.0 (wired)
Wi-Fi (PSP)
Network (over IP)

AV Output
Screen size: 480i, 480p, 720p, 1080i, 1080p
HDMI: HDMI out x 2
Analog: AV MULTI OUT x 1
Digital audio DIGITAL OUT (OPTICAL) x 1

Disc media: CD, PlayStation CD-ROM, PlayStation2 CD-ROM, CD-DA, CD-DA (ROM), CD-R,CD-RW, SACD, SACD Hybrid (CD layer), SACD HD, DualDisc, DualDisc (audio side), DualDisc (DVD side), PlayStation2 DVD-ROM, PLAYSTATION3 DVD-ROM, DVD-Video, DVD-ROM, DVD-R, DVD-RW, DVD+R, DVD+RW

Blu-ray Disc: PLAYSTATION3 BD-ROM, BD-Video, BD-ROM, BD-R, BD-RE