What a surprise you have no idea. Show me where I said that they were closed because of 1 game. lol You really seem to like saying things that aren´t true.

Dude, you're avoiding all my questions. Going back to your first point - what's the relation between the Vita and indie?

Also, why do you think Studio Liverpool was closed down?

The bottom line is that both, Nintendo and Sony, were poised to see declines, because they've lost sight of what the handheld market demands and needs. I hope that Nintendo never takes the easy way out and says: "Smartphones, duh. Nothing we can do about it. We made no mistakes with the 3DS."

The 3ds is on track to sell better than the original ds, there is no way Sony could replicate those numbers, the software on the vita doesn't compare to the 3ds's.  I'm not against the vita, I plan to get one, but Nintendo is on another level in the handheld market.

I already answered and even explained my points, while on the other hand I´m still waiting for an answer for what you meant with Studio Liverpool didn´t evolve, and a quote for only 1 game beeing the reason for closure of the studio. lol

PSV really is in need of support, instead of closing 3 Sony studios that actually have some experience due to working on PSV software they could have been tasked with new PSV projects. But obviously indy games are more important to Sony than actually experienced developers. 

The 3ds is on track to sell better than the original ds, there is no way Sony could replicate those numbers, the software on the vita doesn't compare to the 3ds's.  I'm not against the vita, I plan to get one, but Nintendo is on another level in the handheld market.

Vita is doing quite opposite to what 3DS does, Vita is more about the Console quality gaming on the go whereas 3DS just like what DS did. I don't think 3DS can repeat the sales of DS since as the technology moves there many Gaming related Tablets/Mobiles coming out every year so by 2015 we will have powerful device just like Vita or more which can bring more Quality games which meets Console and along with indie games which is driving the future on that. I don't see 3DS capable of support those games other than RPG's and Nintendo IP's. So, 3DS has got a year or two at most to sale like now but after that it cannot sell the unints just like it does now, lifetime 3DS can go between 50-75 million.

Blaming the gen over gen decline of handheld sales on smartphones is the easy way out. There's much more to it.

Nintendo - Overshot the market with stereoscopic 3D and a $250 launch price (66% higher than their previous handheld). No interest in expanding the market, instead focused on pushing Sony out of the market. Nintendo's attempts at retaining their own audience with appropriate software have been half-hearted at times. Software prices have also gone up which is again overshooting the market. Simply put, Nintendo's sales are down, because in its current state the 3DS still can't address large chunks of the market that bought the DS, and because Nintendo doesn't care for market expansion anymore, thus any losses in their existing audience can't be offset by anything else.

Sony - The PSP already got in big trouble in America before the rise of smartphones. The software market collapsed, so it was clear that their strategy wasn't working. The PSV recycled the same strategy, so the outcome is the same; the difference is that nobody buys the PSV for homebrew, emulation and piracy, an important factor that lifted PSP hardware sales after its software market had collapsed. In Europe the market is simply overshot (in America it's too, but lower price alone wouldn't solve the issue there). A cheap handheld that plays casual games like FIFA is what would sell (like the gimped PSP did in the last couple of years), but the Vita is an expensive device. In Japan Sony lacks the third party support, mainly because their first party studios have sat idle for the longest time and shown next to no interest to grow the installed base (which is also a worldwide problem on top of everything else).

Overall, the PSV strategy is an uncoordinated mess that is about flinging stuff at the wall in hopes that something sticks, because apparently nobody at Sony bothered to analyze why the PSP sold as well as it did. They made the PSV and probably assumed that it would sell because it is a PlayStation.

The bottom line is that both, Nintendo and Sony, were poised to see declines, because they've lost sight of what the handheld market demands and needs. I hope that Nintendo never takes the easy way out and says: "Smartphones, duh. Nothing we can do about it. We made no mistakes with the 3DS."