Mix Base: In a large mixing bowl, combine the softened cream cheese and sour cream. Mix until smooth and creamy.
Add Cheeses: Add the shredded mozzarella and cheddar cheese to the bowl, and fold until well incorporated.
Incorporate Flavors: Stir in the pizza sauce, sliced pepperoni, Italian seasoning, garlic powder, and crushed red pepper flakes, mixing until everything is well combined.
Transfer Mixture: Spread the cheesy pepperoni mixture evenly into a medium-sized oven-safe dish or skillet.
Top It Off: Scatter additional pepperoni slices on top of the dip for extra flavor and presentation.
Bake: Place the dish in the preheated oven and bake for 25-30 minutes, or until the dip is bubbly and golden on top.
Cool and Garnish: Once out of the oven, let the dip cool slightly. If desired, garnish with fresh basil leaves.
Serve: Serve warm with tortilla chips, breadsticks, or sliced baguette for dipping. Enjoy your cheesy goodness!