PSP2 will be a download-only device similar to PSP go, if comments by Sony Computer Entertainment Australia are anything to go by.
Speaking to Gamespot in the interview you can find below, SCEA boss Michael Ephraim said clearly the future PSP hardware will follow PSP go's example in dropping physical retail games.
"PSP go... was the first device of its kind, where you didn't have packaged goods or pre-recorded media, and I think PSP go will blaze the trail for future iterations of the handheld," he said.
Ephraim went on to say PSP is competing not only with other games devices but with phones.
"The handheld space is very crowded, not just in the game category, but also with smart phones and so on," he said.
"We're happy we launched it so we can understand the market and we will re-energise sales very shortly with new promotions."
PSP2 has already been hotly rumoured to be download-only, and there have been hints the device will include a 3G connection. A powerful gaming device with a touchscreen, speaker, microphone and a 3G connection: can't see where this is going.
The next PSP is tipped for a 2011 ship. Should start taking bets on whether or not O2 gets the UK exclusive.