It would be a stupid move. Nobody plays the handheld market like Nintendo. The PSP is probably the most successful non-Nintendo unit, but most people just buy it to run emulated Nintendo games anyways...

And compete with the DS? I don't think thats somthing they would want to do. I mean, look what happened to Sony.

its possible.. considering handhelds are leading the market in terms of units.. Prolly a PSP like device with high capacity flash cartridges..(2GB+).. would prolly launch it midcycle of the 720... since they would have a strong market by then.. 50 mill 360's + "n" 720's... MS like to keep their fingers in all the jars.. irrespective of whether they make money or not (xbox,360,zune,msn search)

I really hope SONY dumps UMD in the psp2.. its the worst idea ever..or better yet stuffs in a 16GB SSD and allows for game installs.

MicroSoft have PC gaming market dominance and are starting to improve in console market withX360. There is no need for MS to enter the portable market. The Zune failed and I do not believe they would bother with a portable console game device.
Games for Windows on PC and XBox 360 is all Microsoft need for now. The future X360 will be released with a new XBox.

By a long shot. The closest to the PSP was the Sega Game Gear on 11 million (according to wiki)

http://en.wikipedia.org/wiki/List_of_best-selling_game_consoles#Handheld_game_consoles.

I relly don't think MS will make a handheld - the 6th generation had the Gameboy Advanced and the N-gage, this gen has DS, PSP and Iphone - there's way too much competition

Zune?

If they do make one and release it in japan you kan kiss half of the upcoming jrps on the psp good bye

will never happen it couldnt even compete with the ds

you do realize MS was in the video game market before sony was right ??? and has been a power house in that field!!! you ment hardware entertainement market probably

its possible.. considering handhelds are leading the market in terms of units.. Prolly a PSP like device with high capacity flash cartridges..(2GB+).. would prolly launch it midcycle of the 720... since they would have a strong market by then.. 50 mill 360's + "n" 720's... MS like to keep their fingers in all the jars.. irrespective of whether they make money or not (xbox,360,zune,msn search)

I really hope SONY dumps UMD in the psp2.. its the worst idea ever..or better yet stuffs in a 16GB SSD and allows for game installs.

does everybody on that website stoped looking into tech lately ??? in the past 12 month it's the 10000th time i get people calling that high capacity... even for an handheld.... today anything packing less than 100Gb is a plain rip off... most of gimmick gadgets portable especially out lately are a effing laugh in the faces of the customers.... Ipod Zune, Iphone, blackberries etc... those things are years behind what is avaible let alone possible.... they are just milking the cow on old tech as usuall problem is things move way faster today than they were and it's not about to slow down....

I thought there was a rumor they were getting into the phone market?

Honestly, Sony was lucky enough to get a third of the handheld market. I imagine if MS goes into it they would be lucky to get 10% of the market, maybe 20% in the US. They already have the Zune competing with the IPod so that's quite enough.