(27/01/2011 02:36 AM)ZiNgA BuRgA Wrote:  Would've liked a 1280x720 screen (294dpi at 5in; great for 720p videos), but I'm guessing the PSP2 wants to (or at least, wanted to) have compatibility with PSP1 games, due to this resolution being twice the width and height exactly. (possibly also restrictions on OLED resolutions, but IDK much about that)  Wonder if this will be the case.

Without increasing the screen size, squeezing any more resolution is pretty pointless imo.  You won't be able to see much difference and it'll need almost twice as powerful graphics hardware (1280x720 / 960x544 = 1.764...).