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Train wreck said:
Why would the vita need to respond when its not competing now? Maybe Iwata is coming to the realization that phones and tablets are effecting 3DS sales in NA.

This is a tough situation for Sony, because people who buy smart phones and tablets are NOT doing it for games.  People get them for other reasons, and games are part of the package.  Nothing Sony can do to counter this, unless they want to position the Vita as a multi-use device.