Honestly, I think it will depend on the firmware.
I think part of the reason the PSP sold so well was people wanted the PSP for non-PSP related activities. Of people I know, i'm the only one who has an unhacked PSP... and bought a PSP for PSP games. For everyone else it was for things like Emulation of older systems and Skype.
If it's unhackable it miiiight have a tough time of it.
Then again, you figure the 3DS is struggling a bit, and it will have Monster Hunter (probably). Which is hitting it's stride right now.