I seem to recall commenting in a thread regaring this exact thing awhile back. People told me I was stupid and shallow for my complaints and yet here we stand.
I can pay more than it costs for a PSP 3000 to get a system that only plays downloaded games, and there is no current model for taking my current stock of UMD's and converting them. Basically, Sony is expecting people to jump on the bandwagon of buying a system that literally does less while happily paying more to do so. When you consider the criminally low price of memory sticks (16gb can be had for less than fourty bucks at my local best buy), I'm forced to really wonder why I'd want a go. The new form factor? The small scratch on the screen of my current PSP?
I may consider purchasing one if it were actually priced in accordance with it's feature set - it can't do as much as a normal PSP so it ought to cost less.