PSP2, Truth or Rumor?

Rumors have been floating around game sites lately of the fabled PSP version 2. Can I use the word Fable and Sony in the same sentence? Off topic, never mind. Speculation was upgraded to “fact” after Sony UK big-wig Ray Maguire told a group of education specialists that the new PSP would be lighter and more compact, while retaining the original screen size. Subsequently, SCEA’s Dave Karraker stated there was no such thing as a PSP2, and that the statements were simply “in the general context that…consumer electronics shrink over time.”