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Sony need to watch 3 things with their next portable device.

1) Pirating

2) Multi media player. The PSP is very handy for portable music, videos etc... but they missed out on the software money as a result. Sony need to focus it as a software first machine.

3) Price. Sony need it to be cheap and they need to make profit on it day 1. Don't include all this fancy technology that no one cares about. Silly idea.