This is way sweeter than the vista topic because it's possible, albeit harder. I spent 4 hours trying to do it, and couldn't find any funtioning hardware imaging software, so I gave up after punching my monitor.
But anyhow, clickey -
http://www.hacker.co.il/psp/bochs/
also, I've got a virtual machine working and everything, all I need is a 98 compatable hard drive imaging program, or something that can create a hard disc image from a vhd file.
But seriously, this is awesome. I'm tempted to try XP for the lulz and so I could take a picture of a PSP booting XP, but the time isn't worth the lol. Or the space. But yeah, this shit is sweet. If only DS could do it too...