The GP2X - OpenSource Handheld gaming...

That's right the GP2X is a handheld device, not to dissimilar to the PSP, only it runs Linux and your can write your own games for it (or just load an emulator or one of the many coversions...)

It plays movies (mpeg, divx, etc)... and music (mp3, ogg, etc) and plugs into your TV... and your USB port on your PC... and it takes SD cards... The list goes on...

It's predecessor the GP32 was an opensource Gameboy Advance clone...

Neat! And at ~AU$290, I think that's cheaper than a PSP! And all your games are free!