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Dgc1808 said:
This news doesn't really blow me away....

The PSP is technically more powerful than the PS2...
iPhone/Touch are said to be more powerful than PSP and DS combined.

Technology advances... The PS2 is also 9 years+ old and was the second weakest system last gen. [Only beating the DreamCast]

Actually PS2 is probably still technically more powerful than the PSP. I still haven't seen GoW2 level graphics on PSP. You must also remember that PSP ouputs lower resolution than PS2 (480x272 vs 640x480) so it is easier to make good looking games to PSP.