Thank god...Hopefully, they'll make things simple and have a way for PS3 to play UMD's (through an add-on, like the Game Boy Player). Or even PS2 (maybe via one of the USB ports). I remember seeing something about the UMD market shrinking rapidly and a way to play PSP games and movies on a TV was the first thing to cross my mind. Thank goodness people are starting to stop essentially buying movies twice.
Even better: Hopefully PSP games will allow usage of actual PS2 controllers. That little analog stub worries me, from handling in-store demos.
Also of note: Wasn't there an earlier article that PSP games cost about the same to make as a full-blown PS2 game? Hmm...
Score five points for DS if this does indeed turn out true. Decisions, decisions...