I think a PSP version is a fantastic idea since it'll allow them to expand on the mythology and try out more ideas with the battle concept, without having to produce a full fledged sequel. When it comes time to release another home console version, they'll have all the tools they need, plus better audio/visual since they waited, and it'll be something really worth buying new, as opposed to something that just could have been done w/ DLC.

The original is one of my favorite games this gen - it continually surprised me w/ both story and gameplay and I'm really glad it's being made into a franchise.