I think the Vita has a decent library, which could be better if more of the Japanese games got localizations to the West. I often see people complain about the handheld not receiving AAA support, but many AAA developers are geared towards home consoles, where many of those types of titles do not seem to be as appealing as a handheld title.
I think inventive titles like Tearaway, a solid push for Japanese-developed gaming (where many developers aren't really utilizing AAA budgets) for western gamers who enjoy Japanese games like traditional turn-based or tactical RPGs, and great support for independent titles could help Sony carve out a niche in the handheld market this generation.
If Sony managed to get Square-Enix to release an enhanced port of Final Fantasy VI on the Vita, instead of the IOS and android like they've done with IV or V, I would put down money for the Vita in a heartbeat.