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The PSP has features that I just don't see with the DS/3DS. 

-For one, it has a huge screen.  More than a few times, me and a couple of friends have sat around watching movies on the PSP when we should have been working.

-It has a huge selection of under-promoted games like Jak and Daxter, Dissidia, and Loco Roco.  These games are exclusive and they're must plays!  People don't even know they exist.  And it can play PS1 games.  Why isn't Sony making a big deal about this!?!

-I can put any movie that I download from the net onto my PSP.  I already have some Hollywood hits and some porn on the console.  Will Nintendo ever let this sort of thing happen?  I seriously doubt it.  Again, Sony needs to let people know!!

-Somebody already said that the PSP needs to find its own identity.  People need to make MORE games that take advantage of the portable nature of the device.  Kids playing against each other on the playground.  Some sort of "E-Reader" device that let's them play some sort of Digimon/Yugio game in 3D if they owned the actual cards.  Something.  One thing Nintendo is willing to do is take risks on gimmicks.  Sony needs to quit thinking traditonally and start thinking creatively!!

-Unlock the memory restrictions on that web browser.  We all know that the damned thing car run the internet very well.  The current interface and the memory restrictions make web browsing more of a chore than anything else.  Update the browser and stop holding back!!

-Remember the Gameboy Player for the Gamecube or the Super Gameboy for the Snes?  Well, make a device like that for the PSP!!  The PS3 can run PS1 games.  PSP games look waaaaay better than that.  Let PS3 owners play PSP games on their consoles.  You never know.  They may have so much fun playing on the TV that they'd buy a PSP to play them on the road.

-I hate that Marcus PSP kid, but he's a step in the right direction.  Make the PSP cool.  Make it relevant.  I went with my kid to see Alvin and the Chipmunks 2 and Furry Vengeance (she likes shitty movies, I guess).  Man, I saw Xbox 360's and Wii's but I didn't see a PS3 or a PSP anywhere.  Put your product where people will see it and MAKE IT LOOK COOL!!  They had the technical advantage over the DS as far as pure horsepower was involved.  They blew it.  The 3DS is on the way.  While there's a little time left, let people know that the PSP is a graphical powerhouse before the bar gets raised.

 

The PSP is probably the most successful "failure" I've ever seen.  It's an awesome system with so much potential and --despite what many think--great sales.  But it could've been, should've been, and could be so much more.

 

I <3 PSP.