Although we already spoke with Sony once (see end of story below), SCEA has since followed up with us after we posted this story. The representative explained, "There is absolutely no truth to the report that Sony is limiting launch allocations to a select number of retailers. Every single authorized SCEA customer is receiving product at launch."

Of course, it could depend on what "launch" means. The retail memo suggests that Rhino would get shipments about one week later, which could still be considered a "launch time frame."

Original story:

It's already a given that Sony's PlayStation 3 will be in extremely limited supply when it launches on November 17. Now, however, it seems that your chances of getting the new console at anywhere but the biggest retail chains will be essentially zero around launch.

GameDaily BIZ has obtained a memo from a small retail chain called Rhino Video Games—headquartered in Florida and operates about 75 stores in ten states—indicating that Sony won't be sending the retailer any PS3 units to sell at launch because it's limiting shipments to the top five retailers.

The memo, sent from Rhino headquarters to all stores, reads in part, "Unfortunately, Sony will not be fulfilling our order requests for PS3 hardware to be available on launch date, November 17th. Sony has decided to limit the supply of hardware (systems and accessories) to its top five volume retailers (Wal-Mart, Target, etc.)."

It's not clear who these top five retailers are, but in addition to the abovementioned Wal-Mart and Target, we would guess Best Buy, GameStop/EB and Circuit City. Recently, Amazon.com backed out of offering any PS3 pre-orders, while Fry's Electronics cancelled some of its pre-orders and GameStop admitted that it would not be able to fill all of its pre-orders.

The Rhino memo is further backed by a statement on the company's website, which reads: "Unfortunately, due to industry-wide extreme hardware allocations imposed by Sony, Rhino will not be receiving any PS3 systems on launch day, November 17th. We want to sincerely apologize for any inconvenience that this may cause. Sony has simply been unable to meet demand for this product. Sony has informed us that limited quantity shipments of PS3 hardware should be available over the next couple of weeks and will be available on a first come/first serve basis."

The memo adds to that, explaining, "First and foremost, this will be a stressful time for customers as systems will be hard to find. Remember to be patient with all customers and encourage them to take advantage of our system in stock guarantee. While it isn't definite, Sony has informed us that PS3 hardware should be available the week after Thanksgiving. Recommend to all customers that they call back often to check availability."

We contacted Sony Computer Entertainment America (SCEA) about the retail order situation. However, SCEA wouldn't confirm or deny the information found in the memo. A spokesperson simply told us, "We do not disclose retailer allocations."