Nope, that's just the 4G version of the Xperia Play, I've got the 3G one here, it does PS1 emulation only.
Luckily someone discovered (search for PSXperia) how to rebuild any PS1 game into the existing Crash Bandicoot game that comes with it, so now many PS1 games can be run on the device (until Sony does something to stop it!).