A Sony representative has confirmed that last month's PSP firmware version 3.50 has finally allowed developers to make use of PSP full 333 MHz processing power.
This update will not retroactively affect any previously released titles, but will only apply to those titles currently in development. Firmware 3.50 is famous for adding Remote Play functionality allowing PSP users to access their PS3 console remotely from any available wireless connection to stream music, photos, and videos.
This is not the first time PSP processor gets unleashed. Dark Alex Custom PSP Firmware has been available for a long time, allowing PSP users to clock their PSP to their full 33 MHz speed.
Since its release on December, 12, 2004, PSP's processor speed has been capped at 222 MHz (two thirds of its normal 333 MHz). While Sony did not provide an official explanation for the speed cap, it is no secret that it was done in an attempt to lengthen battery life. Currently, PSP average battery life is around 5 hours of playing. Running at full 333MHz speed would shorten that time to an unacceptable 3 hours.
So, the question arises: why did Sony Finally decide to unlock PSP's processor speed?
Sony provided no explanation. The following is just a reasonable analysis, and should only be viewed as such:
Having PSP CPU speed finally unlocked may be part of Sony's plan to launch its redesigned PSP during this year's E3. "The focal point of the new design is a new screen that allows PSP to be much slimmer and battery life to quadruple". This means around 20 hours of gameplay at the current 222 MHz speed, or 14 hours at the full 333 MHz speed. Even if the "quadruple" news was an exaggeration, just doubling battery life and then running at 333 MHz would mean 7 hours of gameplay, more than current (capped) PSP's.
If the new redesigned PSP is in fact clocked at 333 MHz, it is completely reasonable that Sony prefers current PSP owners to be able to run upcoming PSP titles, at a shorter battery life, instead of being suddenly cut off.
Sony refused to comment on the relation between unlocking PSP CPU speed and their (still unacknowledged) plans for a redesigned PSP. They even refused to acknowledge that raising CPU speed would shorten battery life.