Soundwave on 27 October 2014
Happened.
No older teenager or adult would be caught dead carrying around a gaming handheld today.
The kids market is also under full assault. Nintendo is able to survive because they throw all their AAA IP onto their handheld and they also have a stronger foothold with the kids market, and kids generally still don't get a smartphone until they're teenagers, so Nintendo has some cover there. That and the 3DS is effectively replaced home consoles in Japan, so Japan is a safe haven in effect for them.
Sony has none of those things going for them, basically the smartphone tsunami happened, Sony is stuck outside with no shelter, Nintendo is inside a little hut. Both are taking a beating, but Sony's situation is worse.
