Skype service will be free for PSP-to-PSP and PSP-to-PC calls and vice versa. Additionally, users can register for a dedicated number for around $20 every three months for what should provide support for landline and cellphone calls. The software will more than likely be part of a future firmware update, and users will use an external microphone for communication.
At this point, we're not entirely sure why service is limited to the PSP-2000. Could there be some other hardware addition to the updated handheld that we didn't previously know about, or could this be a diabolical scheme to get us to upgrade our PSPs? Whatever the case may be, we know we certainly want to use this new technology that more or less answers the question whether Sony is interested in a PSPhone.
[Via Gamespot, Thanks for the tip, Jay!]