No joke, the game is on PSP and it seems (from screens) that it will end up looking better than Yakuza 2! Got to give it up to the team working on the game.
Also the Official Project K teaser site has now been launched. The message says the game has been revealed (this we know) and that it will take place in the Yakuza universe, but going to be something different. The site teases May 13th, we assume an update on the site will be made on this day.