I would say they will not make a physical control Enabled Smartphone point is after the LAMB BASTING THAT SONY HAS TAKEN OVER THE XPERIA PLAY, AND NOW THE PSVita, i doubt very much they will Ever make one.
Sony's Touch screen only Smartphones are selling better than a physical button controller built into the smartphone. If your waiting on one being made do not bet on it ever being made now! yoshida's comments are pointing toward that , Sony would rather sell Smartphones with no physical controls that will sell to the main market that wants a smartphone and Sell Playstation Mobile games there than make yet another physical control Handheld that would not sell very well unless it has every other name but Sony on it!
I think Sony is listning to the Consumer' s voice very Loud and clear!
thats just the blunt truth. I would expect after the PSVita Sony may just keep no physical controls on any handheld they produce, because right now the majority of their hand devce sales are in the smarphone market, and those are Xperia smartphones without Physical controls.
Yoshida may be telling with his recent interview that Sony's last physical embedded playstation Handheld will be the PSVita, though with playstation Mobile and PSN software Migration they may not really care anyway.