Audio by NVIDIA
Tech Report.com believe that the slide pictured below, plus comments made by NVIDIA CEO Jen Hsun Huang, lead to only one conclusion. NVIDIA will be providing the audio capabilities for the PS3.
This block diagram, of the PS3 system overview, shows an arrow which carries the words '8 Ch.Audio'. These words stem from the RSX graphics processor made by NVIDIA.
To further add weight to the evidence was Huang's speech he made to the press at GDC, he said,
"We're gonna build SoundStorm 2. It's gonna be awesome." He was less clear on what form the next SoundStorm would take, saying that NVIDIA was still trying to figure out how to deliver SoundStorm as a product. Huang said, cryptically, that the new SoundStorm "will come in a way that you won't expect."
In the same Q&A session, Huang spoke about NVIDIA's history with the NV1 "media processor" chip, which had built-in sound as well as graphics. He disputed that notion that NVIDIA is primarily a "graphics company," and then suggested that the GPU is going to evolve and expand beyond graphics to include other kinds of digital media.

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