Sony Heads Full Speed Into Mobile Entertainment With Its New PSP

(reg. req.): Sony has surprised the consumer electronics and video game industries when it unveiled the sticker price for its upcoming PSP hand-held game device — under $200, far less than expected. Although Sony initially will target only gamers with the PSP, the palm-size machine is built to play digital movies and songs on proprietary disks the size of drink coasters.

“This is a battle for all of mobile entertainment,” said P.J. McNealy, an analyst with American Technology Research in San Francisco. “It’s not just about gaming.”