http://ps3.ign.com/articles/979/979978p1.html
PSP integration:
As part of Sony's Pause event in Sydney, Sony Computer Entertainment Australia announced a new service coming exclusively to the PlayStation 3 - Vidzone. The new service is an optional download that places a new icon on the cross-media bar (XMB), allowing access to a massive number of music videos on demand.
VidZone will also be bringing live concert videos, as well as behind the scenes, interviews and making of footage, to your TV when it launches on PS3.
According to Michael Ephraim, Managing Director of Sony Computer Entertainment Australia, the service is aiming for a June launch, possibly to coincide with E3 - though this is subject to change.
The service itself, which is listed under 'music' on the XMB as a small TV set with a 'Z' in it, is free to all PS3 owners who choose to install the application. However, revenue appears to be generated from ad placement within the browser window.
PSP integration:
the service also allows you to set up playlists on your PSP while you're on the go, so they're cued up when you get home to your PS3 console.
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