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I think the handhelds have become hardcore gaming machines, by that I mean that in the past they were seen as far more casual than a home console but that is no longer true because the casuals have moved to tablets or cell phones.
3DS lost the Nintendogs, Brain Age crowd the DS had, those 2 titles combined sold over 50 million units IIRC.
Nowadays the 3DS is bought mainly by people who like Nintendo games and RPGs.
You also see this in how bad minigame collections are selling.