Well ,maybe if the PSP gets to 50 or 60 million the software sales wont be hurt .But if the userbase is still small and the piratery is very high it can hurt it .
Dreamcast sold for what I have heard some 11 million worlwide .In three years .
The Dreamcast was a great machine but it had some faults .
1.Sega brand name was damaged due to things like the Sega CD ,Sega 32X ,Sega Saturn ,Sega Game Gear ...
2.Appeared too early .Launching 1998 was a good move a-la 360 but PS1 and N64 games kept improving each month so people didnt feel the urge to buy it .
3.No DVD player .The DVD had already turned the standar due to lack of competition (Laserdisc died real fast ) and it was a real plus at the time .The PS2 having it and the Dreamcast not was a real difference at the moment .Later it would turn in a software advantage too ,I dont think anyone can think about FFXII ,GOW2 ,Valkyrie Profile Silmeria and other games crammed into a Gd-Rom .
4.Lack of support .The lack of support of the likes of EA hurt the Dreamcast a lot .Had it had a Madden ,Fifa ,NBA Live etc it could have done a lot more in occident .There was also some japanese developers that nominally supported it but gave little as support in reality .Konami only had Silent Scope and Track and Field and cancelled Castlevania ,Namco had the uber-brilliant Soul Calibur but after that only released Mr Driller on the machine .Square Enix gave Zero support to the machine .
5.Piratery .Even with all that into account the machine still managed to put some titles in the Top Ten each week .But when the Utopia disk that allowed to charge backups appeared the software sales plummeted like a rock .
6.Anticipation for the PS2 .
