LittleBigPlanet is currently in development for PSP at Sony Studio Liverpool, a source has told CVG today.
No further details were offered as to how the game will work on the PSP, but if true, we'd expect the portable edition to feature link up options with the PS3 version, set for release in September.
We could see scope for transferable levels, or a level editor on the PSP that would allow you to keep working on your creations even when away from the PS3.
We could also imagine the relatively basic 2D gameplay of the console version working well on the portable, although it would be interesting to see how the physics mechanics would convert. If the impressive bendy physics in games like Loco Roco are anything to go by, it could work pretty well.
Sony offered "no comment" on the matter.