Take a look at this article

http://psp.ign.com/articles/111/1112102p1.html

Other than the usual ign bs yada yada specualtion, one part stood out. And that is

"Scott: Overlord Jobs is many things, but a prankster he is not. My bet is that this report is based on a small to moderately sized element of truth, but I'm going to have to call B.S. on the official PlayStation branding and the device being the launching point for a new co-branded Android gaming platform. Chances are this is just a new smartphone with a gaming emphasis being released by Sony Ericsson for Android but with no direct affiliation or involvement from SCE. And it is most certainly NOT the PSP2. I know from my own trusted sources that the PSP2 is in the works, and this alleged Sony Ericsson project isn't it."

This 'tip' or rumor put forth by him doesn't really clash with the PsP Phone rumor. And he sounds pretty confident as well. Personally this falls within what I speculated about there being two devices, one targeted at the Android market while the other is a core gaming device, Ipod/Iphone like if you will. So what do you guys think? Ign is crazy? They be just hating on endgadgets find? Makes no sense? Are you hungry? lol Discuss away

Anywho I expect or rather HOPE that GC and TGS will be huge for Sony this year and all signs are pointing towards it

Cool hopefully a TGS PSP2 reveal?

And of course PSP 2 is in production, the PSP is a huge success hardware wise.

Like I said in the other thread, I think this is just a SE phone that also support PSP titles.  I'm not sure how they'd go about doing this, or whether it'll be legit PSP titles or just mobile ports with PSP branding, but that's how it sounds to me.

back in May 2010 look at this quote:

Sony Australia boss Michael Ephraim suggested that the PSP2 will have to compete with smart phones!

Better be, I'm not going to buy a phone to play PSP games.

I'm not certain. A properly executed PSPhone/Android 2, whatever it may be called, would be ideally placed to compete on all points at once. You could claim expanded functionality at least over the 3DS's WiFi push content (for now, though who knows if Nintendo will go for a low-grade contract-free 3G thing), and allow them full-on competition with the iPhone

The only question might be the distribution of titles the caliber of 3DS, given the underperformance of PSPGo's distribution model for full-size games, but that is a question that could be overcome, potentially.

It is indeed a success... more than 50 million units sold doesn't seem to shabby to me, of course if you put things into perspective, the DS is way more successful but that doesn't make the PSP a failure by any means.

sony really needs to clear this hole thing up