PS3 firmware 4.00 limits PSP game installation

Oddly, PS3 firmware 4.00 appears to have removed a key feature for PSP owners. While 4.00 added support for Vita, it appears that some PSP connectivity has been removed--intentionally or not. Before firmware 4.00, PSP owners could connect their handheld to a PS3 system and transfer games from the console to the handheld. Many games downloaded from the PlayStation Network work across both devices, such as PSone classics and Minis. By hitting "Copy," you could keep a copy on the PS3 and have it on your PSP. However, firmware 4.00 removes the "Copy" function altogether. Shacknews tested a number of systems, including a PSP Go, and could not find the "Copy" feature on the XMB. PSN Stores discovered that games can still be installed to a PSP, so long as they are not "installed" to the PS3.

Games can be installed to a PSP if it's in 'bubble form'

Shacknews contacted Sony when the glitch was initially discovered, and has yet to hear back about if the next firmware update will restore that functionality. Obviously, PSP owners with limited storage space appreciate being able to use the PS3 as a media hub without having to constantly redownload content.