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You have to realize Sony's position. They are about to launch the PS4 so they can either put resources into the poor selling Vita or try to win it big with PS4.

PSP is also eating into Vita sales. I think Sony is doing the right thing with lowering the manufacturing costs with the new model and probably going to bundle it with PS4 in 2014 because they can garner a lot of sales during holidays and when it slows down the bundle will keep things bright.