The thing about UMDs, imo, is that I can ONLY use them in my PSP. Now lets take a look at the game console history of $ony. The laser on the PSX? Remember putting the PSX on its side? We all have a PS2 with a dead DVD laser, which is now the equivalent of an oversized-overpriced PSX....
My point is that using my PSPs UMD drive for movies is not why i bought my PSP. I bought it for gaming. As long as it may last, I will be using it for just that... gaming.
I would definitely buy alot more UMDs if I could use them in something other than my PSP. Maybe a UMD video player in the car? Just had screens put in all the headrests. I would love to cary UMDs instead of DVDs just for the size!
As I said, IMO.