You cannot add custom music to SmackDown vs. Raw 2007 on PSP. The game reads audio exclusively from its encrypted UMD filesystem; no user-accessible music folder, no custom soundtrack feature, no memory stick audio streaming.
.at3 (ATRAC3) or .vag format inside PKG/ISO archives.For SvR 2007: mute music, use Bluetooth speaker or wired splitter for external audio. Safest, zero risk.