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@kitler53,  your post is decent in supporting the smartphone argument.  However, I am sure you have heard this one before... Jack of all trades, master of none.  That is my view of the smartphone.  It will never be as good as a dedicated gaming machine because it isn't designed to be only a gaming machine.  Sure smartphones might lessen the sales of handheld devices but it will never replace them.  I am not saying ignore Apple or any other smartphone manufacture.  Nintendo will be in the handheld business a very long time.  Pokemon, Mario, etc...  Nintendo games will only be on Nintendo consoles (legal version at least, CD-i is the only exception).  Sure Nintendo needs to take lessons and improve.  They perhaps do their best work when under pressure from other competitors.