"Distributed content won't be limited just to games. It will also likely include movies. While we can't get a grasp for how well UMD movie software is selling, there's no question that the world is moving in the direction of network distribution for movies. I've heard that So-Net's Portable TV is performing well."

"PS3 video can be viewed as is on the PSP, so the PSP becomes like a Virtual PS3." Similar to how Location Free Player works, you'll be able to view PS3 content on your handheld. But that doesn't mean music, photos and videos. It means games as well (although games that require fast reflexes will most likely not work due to network latency).

Sony's developers still aren't done working on the system, and are still implementing new features: "It depends on what the users want... It already has a Web Browser, and along those lines, schedule management and mailer applications will likely appear. However, it's important that the concept not lose focus. It would be troubling to have it become a machine whose use is unknown."

Where might Sony end up taking the PSP? It might turn the system into a psuedo-cell phone: "I'm interested in it [turning PSP into a phone]. Of course, it's not the case that you can connect to wireless LAN everywhere, so you can't call it a permanent connection. But cell phones are permanently connected. Cell phones get more interesting as their data transfer rate increases, and I think it would be extremely interesting to try something like that."