Download Xilisoft PSP Video Converter and install it.

Run PSP Video Converter first, load the file(s) by clicking the “Add” button in the main interface or choose “Add” in the File menu.

Highlight the file you want to convert, informations of the file will be shown in the recording area. You can preview the file in the left preview window.

Highlight the loaded file and choose output format from “Profile” combo-box. Here, you must select “PSP Video Format (.mp4)” for your PSP.

Click “Browse…” button to select folder or entering the path directly to decide where to save the output file; “C:\temp” is the default one.

Click “Encode” to start converting. After the conversion is done, there will be two output files for each single loaded file. One is the .MP4 video file, playable with QuickTime on PC, another is a .THM file. Both of them are necessary for PSP. The two files are in the same main title, for example, if your original file is “test.avi”, after the conversion, you will get two files: “test.mp4″ and “test.thm”.

Connect your PSP with PC, and copy those two files into “H:\MP_ROOT\100MNV01″ (where “H” is the drive letter of your PSP).

Re-name your files in PSP. You must re-name them to “M4Vxxxxx.MP4″. There would be five random numbers followed “M4V” and the two letters should be capital. The numbers must be same for two files. This is quite important, or your file can not be played on PSP.