In the latest v3.50 firmware update for the PSP, Sony unlocked the full speed of the CPU to run at 333mhz. However, this comes at a price.

Beyond3D got the 411 on the speed increase. The only way to use the full speed is to have the WiFi disabled, which means games with network play can’t take advantage of the increased power.

This has in fact some consequences for PSP game development. Game titles with network play could effectively be either limited to using 222MHz only during single player mode, or to using a downgraded engine and assets for multiplayer mode, which could complicate the development process. Meanwhile single player-only titles like God of War can take full advantage of the speed boost.

So it seems the boost in speed is only going to affect single player only titles for the handheld. Bummer.