Just got a PS3 and my wife gave me a copy of Demon's Souls for my birthday. It is a really amazing game. Online co-op but not in any traditional sense. You can see the ghosts of other players around you all the time, but you only interact with them if your alive. You can summon them to help you. It works the other way, as well. If your dead, you keep questing like normal, but can activate a stone that opens up a waypoint that another player can click on to get your help.

The core gameplay is very good as well. Similar to Oblivion but with an active block that, if timed right, opens your opponent for a critical hit. Have not played with magic yet at all, but their is the option. No levels. You gain demon souls from your kills that work like money and experience. You use them to buy stats, magic, items and such. Highly recommend to anyone with a PS3! Hell, its one of the reasons I wanted a PS3 since its the same company that made King's Field and I LOVED that series.

Thanks, CCotD!