Sony's UMD format failed and now they will try to sell movies for the PSP on MemorySticks:
Well, it appears that Sony sees the writing on the wall and is going with their backup plan for delivering content to the PSP. The company announced today that it will begin selling 1GB and 2GB MemoryStick Duo cards that come bundled with an installation DVD. With the installation DVD, one can use an unlock code to install one of four movies to the MemoryStick Duo card. In its initial outing, the movies available to choose from will be Hitch, S.W.A.T., The Grudge or XXX: State of the Union. "The Memory Stick Entertainment Pack bundles fun with function. This collaboration with Sony Pictures provides a quick, simple way to get a full-length movie onto Memory Stick media at no extra charge," said Mike Kahn, senior manager for Memory Stick Media at Sony Electronics.
However, the MemorySticks are pretty expensive.. More details at DailyTech.