Though a handful of films - almost all comedies - have sold OK in their PSP-specific releases, the great majority of titles haven't really sold at all. (And, to put this in context, the ones that sell best move only about 100,000 units, which is nothing compared to DVD sales.) As a result, studios are adjusting their release policies, which essentially means that they're both pulling titles (including Goodfellas, which was due from Warner this spring) and generally reducing the number and genre of films that they sell.

In addition to the fact that the PSP hasn't been the blockbuster hit that Sony hoped, the disc format aimed specifically at the unit faces other difficulties as well, primarily the twin facts that PSP discs can't be played in any other players, and that movie can be illegally loaded into PSP memories, thus making legal releases unnecessary. Since a PSP/TV adapter cable is coming out soon, at least some of the problems will be address, so studios aren't (yet) giving up entirely on the format. Still, though, things don't look good, and it's definitely no longer a priority for anyone who isn't a Sony employee.