It’s been long rumored that developer of the PSP hit Daxter, would be working on God of War PSP ever since this appeared on their site:
The Coming Soon looks a lot like
Recently the font has been changed, you can see here.
But now we have a [semi]- confirmation with this image from 1up.com
Note how the logo at the bottom of the ‘Coming 2007 PSP’ booklet is the same from the Coming soon image.
Now we wait for it to be formally announced (GDC?)