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The PSP was incredibely popular in the USA specifically as a portable multimedia player. Now that everyone has a smartphone there is almost no market for such a device. There is absolutely nothing that can be done to turn that around. It is actually pretty similar to the Wii U situation, where the wii build a huge audience of people who will never buy another console again. 

Not going to try to guess why the 360 isn't popular in Japan as I don't live there.