The multiplayer has two modes on the PSP system, One which allows you to connect to a wireless conection which enables you to update your system, surf the web, or play a game online with people around the world. The other is a connection which detects other nearby PSP's for small matches between your friends.
I also read that the gameplay thus far would be a co-op form which allowed the predators to team up and get the aliens. Hopefully there will be some type of customization so you can make yourself look distinct online, as well as other game modes. Either way I am such a die hard fan I'll purchase and enjoy this game regardless.