if its a PSP phone...screw the GO...

would be kinda pointless to bring out the PSP-Go, then right away bring out a Phone type PSP...

N-Gage.

lol lmao, i hope it demolishes the iphone

If sony does indeed make a PSPphone they have been slowly delving into adding thing's like skype communication's to their psp, mylo portable's It was bound to be the next step, now with PSN functionality added to those devices. would be pretty cool In my opinion.

also from USA today.

Japan's Nikkei Business Daily reports, via Reuters, that Sony is considering a handheld device blending functions of the PlayStation Portable with the company's Ericsson phones.

Sony plans to create a project team as early as next month to work on a device slated to compete against Apple's iPhone, Nikkei says.

The iPhone has emerged as a major player in video games through downloads at Apple's App Store. Mobile analytics company Mobclix recently told The New York Times more than half of the billion downloads from the store are games. Also, more publishers such as Electronic Arts and Square Enix are investing resources into developing games for the device.

Nikkei's report follows Sony's recent unveiling of the PSP go (pictured), an overhaul of their portable gaming device which includes 16GB of internal Flash memory and digital downloads available through an online store. The PSP go debuts October 1.

I love my N-Gages, I actually never had more fun playing games at work, like Pocket Kingdom..