Unfortunately, it may just prove too much, delivered too fast to be believable. With features including a built in processor, dual memory cores, its own custom interface and the ability to play UMD movies from any region, PSP users could easily be forgiven for getting caught up in the hype. Above and beyond all of this, the chip supposedly allows for a connection to a USB hard drive. All of this requires a single watch battery, which Team DST will be kind enough to include with the chip when sold.
The current plan is to sell the chip on eBay for $29.99, but eBay doesn't allow the selling of mod chips so this plan won't last long unless the auction is disguised somehow. Add to everything else the fact that the only picture anyone is carrying is a blurry, x-files style picture of what could be anything (many are saying an AMD chip) and the chip loses a modicum of credibility.
The PSP modification scene has already been plagued with hoaxes of everything from firmware downgrades to trojans. If this is another in that vein there won't be much surprise, but if it proves otherwise then it will be a major sting for Sony.
For more technical information you can take a look at this page here as to why the chip itself is everything from unlikely to a technical impossibility. ยต