Digit Online news - PSP versus iPod: What's better for video?
In my view the PSP wins hands down in terms of quality and viewability with it's bigger widescreen. There are lots of utilities to convert movies to the PSP format (including Nullriver's PSPWare and now even Sony#s PSP Media Manager).
However the iPod is a much smaller device and fits in your pocket easily.
Whereas the (current) iPod is a music player that can do video the PSP is a media center that can play games (and do well both). The PSP is limited that currently converting media to PSP format it has to fit in their quirky structures and you're limited to 2GB as that's how big a Memory Stick Due PRO goes. That will hold maybe 4 movies in reasonably high quality. The iPod of course can handle complete TV series with its 30 or 60GB's of disk.
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