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bonzobanana said:
A lot of the ps1 game cd's were mainly filled with the uncompressed audio track. Wouldn't be too difficult to create small games of 4-32MB size by mp3'ing the audio track. It's all emulated anyway so wouldn't be too difficult.

If it were that easy to shrink the PS1 games, why didn't the already do it for the PSN-downloads? They would have saved a lot of money that way (internet traffic, server costs...)

Most of the PS1 games I bought in the PS Store are still 100 - 400 MB big, games like Final Fantasy 7 - 9 over 1 GB due to the prerendered videos: