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While this does have something to do with it, since I hadn't even head of Memory Stick Micro before the PSP Go, I'd say most of it has to do with piracy. No user-replaceable battery, all peripherals are proprietary; they can build in all the walls they want. They're trying to make it that much harder for people to hack the thing, but unless they've done a lot of rewriting of components that I don't know about, the scene will probably prevail.
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Give it time. They'll find a way. They always do.
In any case though, the PSPGo is essentially a deterant from the modding scene but it won't last long. Either it will be hacked, or the unit will flop. I personally don't want a device that relies solely on me having an internet connection, a means to purchase games through their site, and the MS Micro just sucks. Just like SD Micro cards. I'll loose the fucking things. I think people will even now still stick with the 2000 and 3000 series. Plus they are getting cheaper so more people will probably by those models rather than buy the Go right away anyways.
Of course, I love my 1000 series model. A thing of beauty. Fits well in my hands.
Jam it back in, in the dark.
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Angelus T48