I was recently talking to a few folks; and some of them are huge Apple fans on the success of both the PSV (yes it is a success seeing the western market picked up Japan's slack) and the 3DS.  Most agreed that there is still a market for dedicated game devices albeit a shrinking market thanks to the current smart devices out there.  One question is will the imminent release in the next few weeks of the iPad3 and lower cost alternative (maybe iPad2 or iPad mini some say to $249-299) prematurely cut the momentum gained by the 3DS and most importantly the newly released PSV.  Will a lower cost iPad2 or mini, priced closely to PSV and 3DS finally give Apple a portable to address the dedicated handheld machines?  Tell me what you think guys cuz like it or not the new iPad is just around the corner. (exciting times indeed)

I doubt that, it's not in the same market.

Maybe, but Apple no doubt is gearing it's smart devices with games in mind. Also, iPad is a competitor to the 3DS and Vita (newly released and so close to iPad3's release as well) in many ways.  Here is a good article showing why iPad might kill the two handhelds momentum esp the Vita:

http://www.industrygamers.com/news/ipad-3-vs-ps-vita/

People are still buying the 3DS in large numbers despite the fact that smart mobile devices are now everywhere. I don't see why a single new smart mobile device would stop that.

iPad3 will not be a replacement for the 3DS or Vita.

Articles like that are so pointless lol, tablets and gaming handhelds aren't really going to interfere with each other.

It's dissimilar enough that it won't be a threat to the handhelds. I think the smartphones will still be a greater disruption.

Who buys a tablet to play games?

I don't see IOS/Android devices killing the PSV/3DS, I think it's more like PC and Console, in the past people believed the PC would kill the console maker, but today both had their own market...

Anyway let's wait and see what will happen when Vita gets its first Call of Duty and the 3DS gets its first 2D Mario.

As do I =p

Yes. Why wouldn't gamers line up to buy Apples latest handheld? (Instead of PSV and 3DS)