doesn't that mean never?

"Smartphones and tablets are still earning higher overall profits, and will continue to do so until fans start buying 3DS and Vita systems in the same numbers as Android and iOS devices."

thats literally impossible, its like saying they should beat pc computer sales, just not possible.

Doom and gloom. Phones and tablets for gaming! No, not really. Whoever thought that doesnt know how to play games.
Wether they sell more or not its irrelevant. A phone is a multi-use device, not a games console, a tablet is the same. The revenue they generate is not on the same level in terms of software. Just cause you have some funny distraction games doesnt mean gamers will actually addear to these as game consoles. They just dont have the controls for it. You need buttons. At the end of the day, the main use of phones is to contact others and of tablets to work/replace a complicated PC. They are not viable gaming platforms, they are a fad.

The logic fail here is that you don't need to sell the same amount of 3DS/Vita's in order to make the same profit as the smart phones.

LOL @ the 2 people who said "only Vita."

Vita has a chance but that doesn't mean the 3DS doesn't! If the 3DS keeps on doing this to the Vita though... Well, the PSP is doing better at the moment. The Vita got 20 games at E3 though and could turn things around. Especially with the help of the PS4.

I'm confused I thought the 3DS was already profitable?

I don't understand how either isn't profitable, I don't know what this analyst is basing this off of. 3DS assuredly seems profitable. The thing was not that much to make, they did take a hit on the price tho. Still game revenues will trump that in no time. And the games are selling like crazy. Vita is struggling with selling the hardware right now but their is no loss on those sold because its has not dropped price yet(in US/EU). The games are also selling surprisingly well for most developers, especially the Indies. Just because it doesn't have the 3DS/Smartphone userbase doesn't mean that it's attach rate isn't good.

They both appear to be doing just above fine if you ask me.

it is, confuses me too

Great news. But shouldn't they at least explain the economic reasoning behind this? Is it because of scale economy/reduced manufacturing costs? Or do they expect people to buy more games?

3ds not good enough for you?
seriously.... even if it sells only double the current numbers... which would total to 60m... that is still a profitable numbers considering most of the people buy in 3ds are nintendo games.... which gives them a lot of kaching!