As Steve Jobs himself reportedly suggested, the new iPod is primarily a music device, with video thrown in as a bonus. With this description in mind, it’s no wonder that the video quality isn’t quite movie-watching material. Combine this with the fact that the PSP has redefined the concept of handheld gaming, and the winning choice is obvious. The only exception is if you’re a dedicated audiophile, in which case I would recommend the iPod and a PSP!
All this said, I can’t help but wonder if Sony had better start treating the iPod as a serious threat. If my hunch is correct, the next version of the iPod will have a larger and more advanced LCD that will rival the PSP’s for clarity and size. If this is the case, my next review might have a different spin!