This is a very nice design but there would definitely be control issues. And it looks to be not the most ergonomic as it'd be top heavy with the screen extended.
I think with slightly modified control layout and a more ergonomic feel, something like this would be extraordinary.
Lets face it, portables are going to be a big part of the future. Today's portables have limits due to their small screen sizes so I think a larger screen would be well received if it was not too big and didn't get in the way of the devices functionality.
I think its inevitable that Microsoft will at some point try to launch a hand held gaming platform and Nintendo would be foolish to not continue to capitalize and expand the success of their portable endeavors. This makes it all but certain that we will at some point in the near future see a future PSP design from SONY.
I think in its current state, UMD needs to go or be significantly overhauled.
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