Not really. I do have a PSP, and the iPhone is gonna be different. By saying that, you could say that the video iPod is doing that. The PSP has all of that because it is competing in the gaming industry. If the iPhone sells a whole bunch, it isn't going to affect Sony. iPhone = phone market, PSP= gaming market. There is NO competition. The point of a PSP is a portable Playstation, not a movie player. I got it to play games, not to play movies on.