Hi,
I was browsing www.alibaba.com looking at the various Famicom clone and other game consoles when I came across this.
It looks like a media player which hooks up to your TV, that has two PlayStation-type controller ports. It loads files over USB or SDHC card and in addition to the normal video and audio formats, supports PlayStation (1) ISO images. So it most likely has a PS1 emulator built into its firmware.
Has anyone seen or used something like that? It looks quite nice from the pictures, but I don't feel like blowing $1000+ to find out (minimum order quantity is 20).