This. Nintendo wishes that they had competition similar to the PSP, and not like the mobile market.

Like i said in this thread.
http://gamrconnect.vgchartz.com/thread.php?id=203682
The marketshare is NOTHING.
If PSV sell 0 unit and 3DS 1 unit, 3DS has 100% marketshare, but the sales are still ridiculus.

The DS has sold like a monster despicite the PSP was at least selling good... so yeah. No contest.
In term of sales, DS.

The DS situation was by far the best situation for Nintendo. The worst Nintendo could have expected to sell in terms of software for every single game in the DS period, is the best Nintendo can hope to sell for their best game on the 3DS.

The DS situation is better

DS, of course.

Nintendo DS situation

You're talking about a bunch of "ifs" here. But there are no "ifs" in the past because they already happened. You should be asking if Nintendo would be willing to gamble again with handhelds in the future like the DS, or stability and playing it safe like the 3DS.

That being said, DS 100x.

Obviously the DS made more money so was "better" for them. I much prefer the 3DS though. Better library of games, nicer looking device (the XL anyway). And a much needed analog stick!