” Software developers have figured out how to extract files from the Universal Media Discs used in Sony’s new PlayStation Portable handheld video game device, though there is no way to play the games extracted from those discs.”
PSP games will likely never be able to be downloaded illegally and played on the system, however it’s fully possible to create PC emulation for it. Since the files can be extracted, I am sure it’s only a matter of time before that happens. Check out the full article here.