As of right now, the only way to import images that one can plaster upon the levels of LittleBigPlanet is courtesy of the PlayStation Eye, EyeToy or "other compatible USB camera." Great for capturing one's nether regions, but less great for transferring one's original artwork and digital photos. Fortunately, that's about it change, according to Media Molecule's Alex Evans and, oddly enough, the developer's Flickr photo stream.
PS3 Attitude wrote that Evans said to expect a proper image import tool by the end of the year. Speaking at GameCity in jolly old Nottingham, Evans reportedly said the feature was cut due to time constraints.
Word from the official PlayStation forums, however, places some doubt on that claim, with SCEE's Senior Community Development Manager Sam "Protagonist" Bennett writing there are "currently no plans to introduce it for a variety of reasons." That's right. "No plans."
But... a newly uploaded pic of said image import tool just popped up on Flickr today, noting that it's a "work in progress." It's pretty clearly noted that LittleBigPlanet will let you "import images from your PlayStation Hard Drive to use as stickers." It even notes it thrice, for extra emphasis. File it under safe bet.
Work In Progress [Flickr - thanks, Justin!]