I sort of disagree with pachter...............
The vita's OLED screen will come down in price faster than the reductions in chips, and currently oled screens are pretty expensive for what you get. Give it one or two years for manufacturers to reduce costs and you could see some more price cuts.
Also, the connectibility thing shouldn't be overlooked at all. Sony has another device to port games off of, and if anything this will mean more sales for them.
I'd say that the Vita's progress will be similar to the PS3, horrible at first, but getting progressively better compared to its competition, the 3ds, over time.












