Content Transfer
Players will be able to transfer content from the PlayStation 3 to the PSP directly via USB cable, or indirectly by saving the content on a memory stick in the PS3 then moving the memory stick to the PSP. Presumably, you'll be able to transfer content in the other direction, too. It's not clear yet exactly what kind of content will be transferable, but probably things like video files.
Remote Play
The PS3 menu features something called "Remote Play". When a PSP is in range of the user's WiFi network, they'll be able to view content stored on the PS3 on the PSP. So if you've got a movie on your PS3 that you want to watch on your PSP, you can watch it without actually transferring the video. As long as you're in WiFi range.
The PSP will also be able to access the PS3's menu this way.
Game Peripheral
There's the possibility that the PSP can be used in some way as a remote control for some PS3 games. Few game companies have said much about this option yet, but it could lead to some very interesting possibilities. Sony Europe's own racing game Formula One 06 will use the PSP as a rearview mirror, which sounds really cool (even though I'm not much into racing games). Hopefully, other game developers will also take advantage of this feature.
That, alas, is all we know so far about PSP - PS3 interactivity, but I expect it's something that will develop more as the console matures. Here's hoping, anyway.


