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Sony Ericsson is said to be paving the way for an Android-powered PlayStation Portable smartphone that could be launched in two months time.

According to reports from gadgets blog Engadget, the new device looks something like a Samsung Captivate crossed with a PSP Go.

“In other words, it’s a landscape slider with game controls in place of the typical QWERTY keyboard. The D-pad is here, but instead of the small joystick, the device will have what was described as a ‘long touch pad’ for analog controls, along with standard PSP buttons and shoulder buttons,” said Joshua Topolsky of Engadget.

“[It] has a large display, described as being between 3.7- and 4.1-inches with WVGA or better resolution, a 5-megapixel camera that we’re told might not be final, and it’ll likely have a 1GHz Snapdragon CPU on board.”

The phone is also rumoured to run Android 3.0 (Gingerbread) and will sport a new area of the Android Market specially devoted to games. The device will be classed as an Xperia device.

“Games will be graphically in the range of PSX or PSP games, meaning true 3D gaming is headed to Android,” said Topolsky.

“Titles currently being shown off seem to be focused around some older PSX as well as new PSP offerings, with God of War, Modern Warfare, and Little Big Planet possibly on tap, and future plans for titles which incorporate augmented reality features.”

A PSP/Android phone is thought of by some in the industry as a “win-win” situation for both Sony Ericsson and Google as both battle with Apple and its iPhone.

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