I found this off the net about the next firmware:
PSP Firmware 3 Hints
PSP-News is reporting that it recieved an email hinting that the next Sony PSP firmware version (3.0?) will see streaming radio, downloadable game demos and Macromedia Flash player being added to the PSP’s arsenal of multimedia capabilities.
The streaming radio is of great interest to me, the thought of being able to stream audio via wi-fi opens up a whole new avenue for the PSP. Being able to stream direct from either the internet (radio) or PC (mp3 collection) means that the PSP could be used as a hub for all your audio needs. Plug it into your hi-fi and stream content directly from the internet without having to burn it onto CD’s to play elsewhere in the house.
Adding Macromedia Flash compatability to the web browser for the PSP will also be great news - this will open up a whole new entertainment mechanism for PSP users - Flash games. As well as being used for gaming, Macromedia Flash will also allow webmasters and designers to create visually stunning websites that complement the look and feel of the PSP. Imagine a site such as 2advanced being made to scale for the PSP browser. Although not particularly content rich, the interface coupled with a content management system would make browsing on the Sony PSP a joy.
btw ^^that was not written by me .. you can find it here:
http://www.pspculture.co.uk/psp-firmware-3-hints/