I have no idea what will happen to the PSP but I do know that it is the most disappointed gaming unit I have purchased in quite some time. The game release schedule is a joke and my DS gets at least 10 times the play.
It's really too bad because the little handheld has some real potential under that screen. It's unfortunate that the games don't take advantage of it better (looking right at you GTA:VCS and your ridiculous and frequent load times).

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