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Are there two new PSPs on the way?

Digg tackles the issue.

Caroline McCarthy Former Staff writer, CNET News
Caroline McCarthy, a CNET News staff writer, is a downtown Manhattanite happily addicted to social-media tools and restaurant blogs. Her pre-CNET resume includes interning at an IT security firm and brewing cappuccinos.
Caroline McCarthy
The original PSP

The Sony news these days might be split evenly between PS3 buzz and battery-recall woes, but a new rumor's starting to swirl over at Digg: are there new PSPs on the way? Apparently there are two new models in the works, one with a hard drive and one with lots of Flash memory. The whispers appear to have originated at YouNewb, and Diggers are generally cynical. Is it believable? And if so, is a new PSP needed?

"PSP2" rumors and speculation have circulated for quite some time: CNET compiled a wishlist of desired features. And gaming blog Kotaku posted a a pretty "PSP mini" mockup last year. I'm hoping that if there is indeed a revamped PSP on the way, that it has some legitimately cool new features and isn't just a lame way of saying, "Look, we make things besides exploding batteries!"

UPDATE: Crave spoke to analyst P.J. McNealy, who seems to be the point of origin for this speculation. He wouldn't name sources. So, take this all with a grain of salt, and a slice of lime, and a shot of tequila.