Sony plans to develop PSP into a portable gaming device as well as a phone. In the near future Sony will develop a new smartphone device capable of downloading and playing PlayStation games as well. A brilliant idea indeed, but clearly it appears no different to compete Apple which continues to grow rapidly in the mobile gaming market today.

The Smartphones future be able to connect to online gaming and media platform owned by Sony, which will be presented at the American end of this month.

Sony Online Service will offer much the same content offered by Apple’s iTunes Music Store, but Sony believes that it can be distinguished by allowing the various devices (not just the phone) to access the games catalog. Sony said the games there, mostly old games include a game that is compatible with the original PlayStation.

Sony work more actively with Sony Ericsson to develop a handset, which is expected to begin later this year. Sony has indicated that the smartphone will play a more strategic role in the future. Unfortunately, details about the smartphone, such as price and features so far not been disclosed.