Last week, Acclaim's David Perry let slip that not only is the PSP2 in development, it will ship without a UMD drive. Sony refused to confirm those details, though they did assert the importance of the UMD business to the PSP.

Today, Eurogamer is reporting that an anonymous source close to Sony has confirmed that a new PSP design is in the works. This new PSP will not have a UMD drive and will also feature a sliding screen. When the screen is "closed," it apparently obfuscates most of the inputs, leaving only the shoulder buttons exposed. When in its closed state, games that exclusively use the shoulder buttons can be played, something that Sony is approaching developers about.