About the PSP thing.
One thing I heard and it may just be total rumour was that the PSP could indeed be used as a controller. The idea being that for some types of games your energy bar, ammo etc would be displayed on a special HUD on the PSP screen instead of on the main game display. That means all the players in the room can't tell how much ammo etc your opponents have without wrenching the controller out of their hands... and that's hardly fair is it?
Just think of the possiblities for a moment. Even simple things like card games take on a whole new meaning when you have your own *personal* screen of information sitting in your hands that your opponents cant see.