It's not known whether the game will be an entirely new entity or a port from one of the arcade versions. However, speculation at the moment dictates that it is likely to be a new entity. This reasoning comes from the belief that Sony is encouraging developers to make stand-alone games for the system, rather than just relying on ports. We'll let you be the judge of this issue so far.
Unless you have been hiding under a rock or are new to gaming, you'll know that Tekken going to the PSP was more a matter of when, rather than if. Having already conquered the PS1 and PS2, Tekken is already looking to start off the next generation in style, with a title in development for the PS3. The last foray to handhelds for the series came in the form of Tekken Advance, which was competent but a little lacking.
We'll have more as it develops.

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