PSS Downsampling toolkit
Over at Backuptools they have released something called PSS downsampling toolkit for the PSP. It uses a built-in PSS Plex and ReJig engine. Simply drag and drop your pss files into the window, select the dowsampling rate and click the Go! button and the tool will demux, downsample and remux all the movie files for you.
Can we now finally play those +1gig games on our small memory sticks? i surely hope so and i'm wondering who will succeed first, but this tool will certainly help.