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handhelds and tablets such as the ipad/ipod will not kill console. it's stupid to think so.
even when we look at simple things like graphics.

the new ipad can compete with 360 graphics.
ok...
the 360 is like 10 years old now or something so why would people be surprised? i find it funny that so called experts make these predictions and anyone who would be classified as a gamer knows that consoles are here to stay.

to fit a high end PC graphics card in a handheld would be madness, so it won't happen, then there are issues in cooling, the ipad is like carrying a piece of paper.
home consoles do not have these issues, if you look at the 360's heatsinks they are about the size of an ipod touch.
lets not even get started on controls?

gamers will go to consoles
graphic whores and people who like player made content go PC
children, and people who are always on the move for work or school go hand held
average person who already wants a smart phone will probably go ipod