I think Nintendo has a much better library games for mobile content. Nintendo games are very compact with lots of casual appeal. That means they can be downloaded quickly and be enjoyed by a wider audience.
I don't think that either Sony or Nintendo are going go the cell phone route yet however.
Nintendo is too conservative, they won't do it.
While the PSP is nice, I don't think it has enough to compete with Android. Gaming alone isn't enough of a differentiator. Who would chose a PSP, when they can get an Android phone that can do many more things and is accepted in the business world as a professional device.
Anyone can guess. It takes no effort to throw out lots of predictions and have some of them be correct. You are not and wiser or better for having your guesses be right. Even a blind man can hit the bullseye.