E3 is coming soon, but if rumors are to be believed the PSP 2 will not be unveiled just yet. The PSP 2 which is said to have exciting specs is expected to hit stores only in 2011. Sony Computer Entertainment remains defiantly tight-lipped on the matter.

Sources say the PSP 2 comes with a touchscreen and will have physical buttons as well. It has two cameras, one of which is forward facing while the other is at the other at the back.

Sources add the console could support Wi-Fi and 3G, which would be a first for the hand held series. UMD is likely to be removed completely, just like the PSPGo. More importantly, the hand held unit will be powered by a four-core Cell CPU.
It is not clear as to when exactly the PSP 2 will be released. Sony could possibly be aiming for a Tokyo Game Show or Gamescom presentation.