http://www.develop-online.net/news/ambition-to-ship-gpu-less-console-delayed-ps3/0184281
And the ICE team convince Sony to use a GPU
Desire to ship console without a graphics chip pushed it back an entire year
A flawed ambition to ship PlayStation 3 without a graphic processing unit was a major reason for the console’s year-long delay, fresh interviews with Sony staff have revealed.
Speaking to IGN, members of Naughty Dog, said that PS3 was intended to launch in 2005, but the Sony’s hardware team – lead by Ken Kuturagi – originally wanted the system’s Cell chip and SPUs to handle its entire graphics processing.
“We had started this ICE [Initiative for a Common Engine] team with the intent of developing some core technology that could be shared amongst all the first parties, back at the end of Jak II,” said an unnamed source.
And the ICE team convince Sony to use a GPU