I certainly hope it isn't. Where is it going to go, the PSP? More likely it'll end up on the PS3 years on down the line after Nomura gets enough time to begin working on a new KH project.

As for the video, I liked the whole keyblade war concept. The guys in armor look pretty awesome and the old man looks to be downright annoying. Outside of that, KH2 closed up storyline points rather nicely, so nothing is keeping me tethered to the new title except mild interest.

If you haven't seen it yet, here it is:

http://www.youtube.com/watch?v=8wtQ_72JwIE

The next Kingdom Hearts project will be portable, yes. It won't be Kingdom Hearts 3. Nomura has said the portable games will outline what happened to characters other than Sora (think King Mickey, etc) during the events of the first two games and inbetween them.