Sony have confirmed that the video sharing features have been dropped from the PlayStation Home beta.

In retrospect, the idea of any kind of multimedia sharing from the copyright-wary Sony was always looking a bit wobbly, but it is unclear if the decision was made on technical or IP rights grounds. Home users were meant to be able to invite other gamers to their virtual space and watch videos together - possibly while eating virtual Pringles.

Sony were unable to confirm if the feature is gone for ever, or if it will be returning in the final release.

Sony: No Video Sharing in Home Beta [Wired]