My understanding is that Kutaragi is still given special consideration outside of the 'normal' corporate structure of Sony and reports directly to Stringer rather than through any of the other executives or board intermediaries, so I think for all intents and purposes he's given total control of his Playstation fiefdom, contingent on his incorporating any ideas Stringer absolutely mandates of course.
Still, I imagine Stringer consults him on decisions related to the electronics and semiconductor units, if only because he used to run those. Stringer's a good guy though, and a consensus builder, so I doubt any consultation with Kutaragi would be to an extent that the other department heads feel their toes are being stepped on.
As the father of Playstation, the man behind Cell and Sony's fab build-up initiative, and the man responsible for Sony's LCD venture with Samsung, there must be a sense that Kutaragi's ideas and initiatives still color certain divisions, even after his being removed from their helms.