According to internet rumors, several big retailers have warned unless Sony do something to spark up demand for the PSP, they will have no option but to remove the 'slow selling' system from their shelf space! According to the PSP's marketing manager , Sony is definitely planning something on par with the scale of PS1 and PS2. One thing revealed was that the screen will not be changing in size.
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According to Koller, Sony did share plans that got retailers excited. Of course, what these plans were exactly, he wouldn't say. Could they be new PSP colors that have been previously shown and released in Japan and Europe? Or could they be the redesigned PSP with 8 GB of flash memory that's been rumored for ages? Or could they be the launch of some new PSP video/music download service? We'll likely have to wait a few more weeks to find out.
And whether it's coming soon or later down the road, a redesign for the PSP is in the works. According to Koller, Sony is in the process of reducing parts and potentially adjusting the size -- similar to what's been done with the PS1 and PS2. "I can at least say this much, the screen won't be changing in size," he said.
Via Max Console