Sony Ericsson’s Xperia Play (or PlayStation Phone) has been showing up from time to time and now the gaming-oriented phone has been sighted again. This time the phone is seen in a video with someone playing Resident Evil 2 and Rage Racer on the device. The hardware seems to be working fine, though the games needed to be loaded through ROM Buddy, a third-party Android app for running ROMs, hinting that the software isn’t final yet or that this might not be what we’re getting when it’s officially released. Check out a video of this phone in action after the jump.

Of course, if the Xperia Play is powerful enough to run PlayStation games, it’ll likely be a serious challenger to the iPhone’s dominance, not to mention become a competitor to Sony’s PSP and PSPgo portable gaming consoles too.

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