I'm not certain. A properly executed PSPhone/Android 2, whatever it may be called, would be ideally placed to compete on all points at once. You could claim expanded functionality at least over the 3DS's WiFi push content (for now, though who knows if Nintendo will go for a low-grade contract-free 3G thing), and allow them full-on competition with the iPhone
The only question might be the distribution of titles the caliber of 3DS, given the underperformance of PSPGo's distribution model for full-size games, but that is a question that could be overcome, potentially.

Monster Hunter: pissing me off since 2010.







