Well before I start this thread I'll make one thing clear I think Nintendo's 3DS and Vita can both be successful even if they don't achieve sales similar to that achieved by PSP and DS. However share holders at Nintendo have been on a rampage saying that the market for a handheld gaming dedicated platform are over and that smart phones are the way to go.

3DS sales of software are so low that developers are bailing fast and despite the price cut hardware sales remain inferior to platforms released five years ago. Investors at Nintendo are trying desperately to convince Nintendo to drop handheld gaming saying that handheld gaming is dead and Smart Phones are taking over. To make matters worse after Monster Hunter 4 was announced for 3DS Capcom share holders freaked and shares dropped by a big margin. Showing that Nintendo's share holders aren't the only ones that think handheld gaming is going to the smart phones.

All the newspapers and magazines and websites are reporting that the age of gaming dedicated handheld's is over, something I disagree with but they sway a lot of investors.

So that leaves Sony, the Vita has a lot of developer support and is seen as the next big gaming handheld. With a similar price to 3DS at launch and more software support. It would appear Sony is handheld gaming's last hope, if Vita goes down in flames or under performs selling units at a similar rate to 3DS investors will see the handheld industry as dead.

If investors aren't convinced their is a market for handheld game devices it could be the end of Vita and 3DS. The whole handheld market could be at stake. Even if Nintendo and Sony were to stay the course and maintain support for their platforms what about third parties? Capcom trying to maintain support is facing huge back lash from their share holders. UbiSoft cut 3DS support in a major way and third parties are backing away.

If developers drop there support for 3DS and Vita that could spell the end for handheld gaming devices.

Can Sony sell enough Vita's and software to assure share holders in not only Sony but third parties that there is still a market for handheld's? This is Sony's chance to shine and take the throne from Nintendo as well as save the handheld industry from collapse. Because if Sony can prove there is still a market for handheld games devices they not only can save themselves but Nintendo and other third party handheld developers in the process.

Does Sony have what it takes to prove all those analysts and media outlets wrong? Is there still a huge viable market for handheld gaming devices? If Nintendo couldn't succeed that leaves only one company to prove that handheld gaming is alive and well and that hero is Sony!

I agree but unfortunetly these share holders could very well destroy the handheld market. If share holders loose complete faith in handheld gaming and pressure their companies to abandon it. The industry could very well implode at the hands of idiotic share holders rather then directly from smart phones.

Look at the steady drop in Nintendo's shares with 3DS? Or Capcom's drop of over 8% when they announced MH4 for 3DS or Square's shares falling. Investors in all of Nintendo's supporters and in Nintendo themselves are trying to push Nintendo out of the handheld industry. Investors trying really hard to get Nintendo to go and develop for iOS and Android.

If Sony's investors do the same thing Nintendo's investors are and all of Sony's third parties have investors that act similar to Capcom. We could see the handheld industry shot to shit.

So directly no smart phones can't kill of handhelds. However indirectly with the help of moronic investors they could actually see that goal achieved.