If anything, this is a GOOD IDEA by Sony.
How anyone can call a 60 million selling console a FAILURE is beyond me, but I like this path by Sony. Sony Ericsson is a drain on the entire company and basically has been since Day One. When you have as many different paths as Sony does in hardware, it makes SENSE to use one brand to sell another.
Remember last Xmas and Sonys Best Buy Tv sales with a PS3? That was perfect and something I hope Sony does more often. Them lending the PSP brand to Sony Ericsson is right along these same lines. It is high time the Ericsson purchase does SOMETHING for Sony, and I do believe this would lead towards that. (gotta take it off Att only in the US tho of course)
I am very excited for this. I have been waiting for a company to release a real game playing smart phone for awhile now. I enjoy those regular games every now and again, but It is a bit annoying carrying around my phone portable gaming device mp3 player. If I could do them all together, I would be one happy man.
And as for the Go. Did it fail to sell well? Yes. Was it a failure? I would say no. I think it was an experiement, nothing more nothing less. An expensive experiement sure, but not a wasted one. Im banking on them using the shell of the PSPGo for their new smart phone (taking some of the RnD costs out of the PSP2).