We've heard that a new PSP will be coming with a sliding touchscreen. Now Pocket Gamer has said they've confirmed the rumors with a developer working on the platform.
According to their source, the PSP will, in theory, look a lot like this mockup. Its touchscreen will slide to reveal a D-pad and a long-awaited two analog thumbsticks. And as mentioned before, UMD will be ditched for digital downloads. Pocket Gamer says the device is more like the iPhone than the last PSP and speculates that the iPhone and DSi may have accelerated Sony's plans for the future.