well, not a direct competitor, but somewhat comparable.
Looks like they just announced a new bundle / giga pack: PSP bundled with a 1GB Memory Stick Pro Duo instead of the 64 MB at the same price.
(which is somewhat easy for Sony since they have the policy of being competitve or reasonably priced for the basic products, and charge yuo an arm and a leg for accessories).
Well, we still don't know the official Nokia 770 price.