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I own both and for me the winner is the PSP. While the DS had better SNES-Graphics in my opinion the PSP was between the PS1 and the PS2.

Games like Kingdom Hearts: Birth by sleep, Final Fantasy Dissidia or Crisis Core: Final Fantasy 7 were absoluty brilliant. I have seen nothing on the DS that could rival these games.

The DS was a good handheld, but the PSP hat those few outstanding games that made it my favourite out of the two.