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M.U.G.E.N said:
WilliamWatts said:

Look at the attach rates, 2.5 vs 4. The PSP has been out the same time and has a smaller hardware base. You would expect the attach rate to be higher than the PSP but software sales do not match this. In addition to this, the software attach rate ought to be rising as the hardware sales fall YOY but it doesn't seem to be the case.

So you just jumped to the conclusion that people buy the psp for non gaming purposes? :S Did you even consider the possibility that it might be because there are not as many games on the psp that people would like to play? If you check the software charts you can see when there is a good title released for the psp, the sales sky rocket for it. Your argument is flawed. So unless you have substantial proof otherwise, I am not convinced at all

The simplest explanation is usually the most correct. Since the PSP is also a portable media player and a pretty good one, its competing more in the iTouch market than the gaming market since games don't sell on that platform. The proof is the attach rate. Most third party publishers have abandoned the system because of it.