The company announced the new move on their Japanese language site, saying that following a beta testing period, they have decided to cancel development.
They did not give any particular reason for the cancellation, but poor user feedback may be to blame.
Beta testers of the service owned and customized their own virtual rooms, including 3D avatars, says GI.biz. You could then invite other users to chat rooms, as well as share images.
PlayStation Room would have been free, with some content (like dressing the avatar, and furnishing the room) costing some money.
Written by: Andre Yoskowitz @ 17 Apr 2010 2:46