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The mistakes with the price point, memory cards, and game line-up have all been mentioned already, but I think what really made them fatal errors was the system coming out right around the time the 3DS was really hitting its stride. Had the 3DS had the same situation as the Wii U where it took a year before the system had any games worth buying, then it might have given Sony the time they needed to turn things around with the Vita. Instead, well, they pretty much ended up in the same situation that Microsoft did with the Xbox One the following year.