Apparently PSPlife has been given a few details about the PSP successor. Their source has told them that the PSP 2 will be launching this fall in Japan (with PAL/NA unconfirmed). It will also be launched alongside a Playstation Phone, with both devices sharing a "app store". The PSP 2 will apparently have a capacitative touchscreen and tilt/motion sensors. The PSP 2 will also be rocking the PowerVR SGX543 graphical chipset.

It is also reported that Ready at Dawn is working on a launch title for the PSP 2. Also the PSP 2 will not be shipping with a UMD drive and that games will be sold as carts/memorysticks of some kind. Source

If this rumour is true then the PSP 2 will have a GPU which is halfway between the Xbox 360 Xenos and the original XBox. This means that with the PSP 2 lower resolution, the graphics will look comparable to the XBox 360.

http://www.psu.com/forums/showthread.php?t=232703

woo for PSP2
NOOOOO for PSP phone

PSPhone is a neat idea that has already been discussed over the internet multiple times. They better support that shared "app store" heavily with some non-traditional games at lower price point rather than what Ready at Dawn usually do.

Nice - and there starts the waiting for confirmation at E3!

There was rumours of them making a Ps360 game at one point :/. It was a job listing or something.

Guess they can do both.

It's like Itouch and Iphone. Lol!

YES!

the excitement of a new generation is here!

If this is true, why can't sony just use the cell processor in the playstation portable 2?

Must have something that differentiates it from the competition.
With this description it sounds just like an Iphone.

But, of course, it's too early to tell. Here's hoping for innovation, and not just power.

... That cancels my PSPGo plans...