Well I don't think emulation will be that impossible.
Looking at the hardware spec here the CPU is a MIPS R4000, and that already has been emulated (have a look at this for a bunch under Linux).
The 2 big problems are
1) the GPU's and
2) the disc format.
So if someone mods a open source CPU emulator then they are half way there
You can connect a PSP to your PC, so hacking some type of disc dumper and analyising this might help with the disc format (and provide a way to get the games/movies/BIOS in the first place!).
Just food for thought, but a GBA emulator was done prety fast, so maybe handheld's are easier to emulate........