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Recently I 'upgraded' from the original Sony PSP handheld to the new 'slimline' PSP 2000 (some call it version 2.0 of the original Playstation handheld units). Part of the reason that I upgraded, and had wanted to upgrade, was the promise of the ability to output video from the handheld to my TV, something that the original PSP was not able to do.
The only problem with the desire to output the video from the PSP is the need for an add-on cable, either Component or Composite, with neither included in any current package that the Slimline PSP is sold in (or at least none that I'm aware of). The cables are available via Amazon.com, Best Buy, and other retailers, and are normally priced at approx. $20 each.
After selling off a few items via Amazon.com, I had enough in my Amazon.com gift certificate account to be able to pick up the Component video cable and my desired Headphones with Remote control for the PSP 2000 model.
Today I finally got a chance to play with these new toys a bit, or at least a chance to play with the new Component video cable.
Before purchasing this cable, I did some research and had learned there are some gotchas involved with these cables. In the case of the Composite cable, there is no ability to output GAME video to a TV. The composite cable will allow outputting video from movies, but not games. Oooops. Component on the other hand allows for output of both games and video from movies to a TV (assuming your TV has component inputs). There's a few other gotchas involved in that you must be able to accept PROGRESSIVE input, rather than interlaced input, if you wish to receive game output on the TV. Outputting in interlaced mode results in restricting output to video from movies only.
Regardless of output mode, DON'T EXPECT the video to fill the screen. Sadly, once you are outside of the setup screens, especially once you are in the video game modes, the screen size will be restricted somewhat and you will find that the display doesn't fill the screen at all, instead it is centered in the middle of the TV screen, formatted according to preferences that are selected on the handheld.
Later I want to check out some of the UMD videos that I have and see how they look via this cable. Reportedly they'll look 'ok' but not great. I don't expect perfection, but I'd like the video to look at least acceptable and tolerable, and by what I've read of other reviewers, that seems to be what I'll get.
A minor nit to pick with the cable is the direction that cable curves off to once plugged in. I wish that Sony had included a swivel type connector so that the cable could be angled off in any direction the user chooses. Instead, the cable curves back under the bottom of the PSP 2000, off to the right, somewhat in the way for my tastes.

Image linked from Joystiq.com
For a few more words on the PSP 2000 and it's ability to output to TVs, check the article here (among others out on the net).