PlayStation NEO release date update: Rumored PlayStation NEO/4.5 to debut at E3, starts at $399?

With this year's Electronic Entertainment Expo (E3) just days away, the anticipation for Sony's rumored new PlayStation — the so-called PlayStation NEO or PlayStation 4.5 — is reaching fever pitch.
Earlier this year, rumors began swirling that Sony was preparing to unveil an all-new PlayStation, roughy three years after it released the PlayStation 4 (PS4), the latest iteration of its flagship console.
While Sony has yet to release official word about a possible new PlayStation, various reports have indicated that the console could be launched during E3, the annual gaming convention, and that it could be named the PlayStation NEO.
In March, Kotaku suggested that Sony was working on what may be a "PS4.5," which will likely not be its official name. Kotaku's report noted that Sony was already letting game developers know about its new hardware and how it would work so that they could prepare their new games accordingly.
The report from Kotaku was seemingly substantiated by a report from The Wall Street Journal, which said that Sony was planning the release of a "more powerful version of its PlayStation 4 machine."
As for the PlayStation NEO's specs, Kotaku indicated that the console will have better processing power and an upgraded GPU to support games at 4K image output.
In April, Giant Bomb reported that the upcoming console was being codenamed "NEO" and that it would be sold at $399.
According to the report, after NEO is launched, all PS4 games will be required to ship in two different modes. "Base Mode" will run on the PlayStation 4 while "NEO Mode" will be for the new console.
While some reports suggest that the PlayStation 4.5/NEO could debut at the Tokyo Game Show in September, fans are still hoping to see it onstage at the upcoming E3.
Sony has not confirmed whether or not it will be releasing a new PlayStation at the event.