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I don't think the mobile market is hurting the Vita or 3DS at all. The problem with the Vita is that there aren't many worthwhile exclusives. The 3DS has more worthwhile exclusives than the Vita, but in comparison to the PSP and DS in the same time period, even the 3DS is severely lacking exclusives, but the 3DS is a Nintendo portable, and those don't have a difficult time selling.

Sony is just abandoning the Vita. While Nintendo is pushing out game after game for the 3DS, Sony has released fewer games in comparison. Instead of focusing on the PS3 as much as they did, a system at the end of its life, they should have put most of these games on trying to make the Vita sell. With the PS4 out though and how well it's doing, common sense is for Sony to put as much effort as they can to make sure the PS4 dominates the Xbox One, so the Vita will become more and more irrelevant for the next three years atleast.