I'm no fan of Sony, but I believe the Inq was referring to the move to 65nm away from 90nm (at which IBM has previously stated yields are good) which, naturally, is something Sony needs to do ASAP to avoid bleeding to death on hardware costs.
The Inq didn't specify between nm processes--they said that Cell yields are horrible, period, regardless of die size.
If I didn't know better, I'd say The Inquirer and Register are both well-done satire.