thismeintiel on 30 January 2011
I'd have to say no. It would just be a gauranteed loss for them financially. We already have the 3DS, which may appeal to the more casual crowd. While the NGP will definitely appeal to the more hardcore crowd. If so, then both markets are represented. There's nothing MS could do to win in that market. They would have to both outperform the NGP price wise and spec wise, as well as come out with many appealing exclusives, to defeat Sony. And they would have to release as many unique exclusives as Nintendo, as well as beat them price wise and spec wise, to appeal to the more casual crowd. And I don't think there is really any room in the handheld market for a 3rd console that takes the middle route.
