We had recently reported about the PSi. And today another rumor doing the rounds is of SEGA coming with a handheld. According to Inpact Virtuel it will be releasing next year and will be called HedgeHog. It will feature a touchscreen, joystick and a support of cartridge and a USB port. USB port will be used to play music and videos directly from the USB flash drives. HedgeHog will also be backward compatible and the user will be able to play older games.
Seems promising but still its a concept design and most probably a fake one.
UPDATE: It was an April Fool from these French Guys.
well I found this recently on the web :S