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-------------- UPDATE!!!! Welcome Google Surfers. If you came here looking for instructions on how to downgrade psp 2.0 to 1.5 you've come to the right place. Full instructions can be found at: psp hacks or here or here
Nem, the creator of the first PSP homebrew app, "Hello World" has reported some major findings on psp-dev. He claims to have been able to extract the 1.0 firmware on his PSP.
It's quite possible now that the dump of the original firmware is in the capable hands of a few really good programmers that we might see some tricks posted on how to update/downgrade firmware on our 1.5's without cracking open the case.
While he does provide instructions on how he did it, I would not recommend trying it. If your patient, and wait another week, I have a feeling there might be a much easier way in the works.