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Chark said:
Sony gives devs and publishers a lot of freedom. If they want to make PSP games, they can make PSP games. The Japanese publishers are the ones who have been doing that, holding off on Vita games because they want to make money on an already established install base. Vita sales in Japan have suffered for it.

Despite that Sony themselves have been heavily supporting the Vita with their own software. Just look at the list of games on Vita and you will see tons of Sony published games from various studios, along with upcoming studios. Hardware wise Sony is supporting Vita more as well, giving firmware updates and new features. The only real support they have given to PSP has been a price drop in Japan.

I don't think that's the sole reason. Hasn't it been stated that developing for Vita is much more expensive than for 3DS and PSP? So it would be more like they can't afford to risk a game bombing on the Vita as it would seriously hurt the studio. And although it's not 100% on topic: The 3DS is a far greater factor in Vita's devastating sales than the PSP. Almost all major japanese games moved from PSP to 3DS. That's the main reason, PSP is jut an additional pain in the ass.