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I think Sony has figured out a way to really take on the 3DS:

1.)  The 3DS will not have great online features.

-Sony is really making the NGP an all out online machine with 3G and a new PSN on steroids.

2.) The 3DS is $250

-Sony can now make their handheld $300-$350 and still compete with it. 

3.) The 3DS has a 3-5 hour battery life.

-Sony Stated the NGP will be playable for a longer period than most handhelds (Probably 5-7 hours)

4.) 3DS has a great line line-up of N64 and wii era games.

-NGP has a great line up of PS3 and PSP games which are FAR more impressive.  Don't forget how easy they said it was to port from PS3 to NGP.  Expect games to be released on the NGP as well as the PS3 (Both versions will be fairly equal with the possibility of cross platform MP).

5.) The 3DS is sticking to a two-screen system that STILL uses a stylus (Makes one hand not able to use buttons well)

-The NGP has six-axis, and front/back touch controls that allow users to control it while hands stay in place.

6.) The 3DS has 3D without glasses

-The NGP has 5x the resolution of the 3DS with LED backlighting.

7.) The 3DS sounds like another DS except with 3D.

-The NGP (whatever it's final name is) will seem like sound like something entirely new.

 

Biggest Possible mistake: If the NGP is more than $350 I don't think it will sell that well at first.

 

P.S. I still think the 3DS will most likely come in first, but Sony will sell far more software than they did before and "lose" by far less a margin than they did before. 



Prediction for console Lifetime sales:

Wii:100-120 million, PS3:80-110 million, 360:70-100 million

[Prediction Made 11/5/2009]

3DS: 65m, PSV: 22m, Wii U: 18-22m, PS4: 80-120m, X1: 35-55m

I gauruntee the PS5 comes out after only 5-6 years after the launch of the PS4.

[Prediction Made 6/18/2014]