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Pro- lots of great and cheap games out right now (about 45 or so)
Pro- works great as a movie player
Pro- you can mod it and play old games (up to PSX, but N64 and saturn don't work to well)
Pro- works well as an MP3 player/podcast and you don't need headphones
Con- not all that many great games are going to come out in the future ( I would guess that about 25 more really good games will come out throughout the rest of PSPs life)
con- battery life is 5 hours
con- old games have long loading times (5-20 seconds). Newer games have loading times that last a few seconds.