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naznatips said:
The PSP's real problem isn't hardware sales. The hardware sales have been more than respectable. Its problem is that the software attach rate is abysmal, and far lower than that of the DS.

Personally, I would say that the biggest problem with the PSP is that Sony did not learn from their mistakes with the system; had Sony stopped and thought about why the Nintendo DS was so much more successful than the PSP I'm certain they would have rethought their design for the PS3.