[quote name='gettinmoney662']I don't understand why people think mobile gaming is a serious competitor to handheld gaming. Maybe it's hurt the market, but it's not going to kill it. Mobile gaming is a distraction, handheld gaming (especially on the Vita) is approaching console experiences. Compare Cut The Rope to Uncharted: Golden Abyss. There is no comparison.[/QUOTE]
Unfortunately, that's not what the research shows. Gamers and casual consumers alike are downloading tons of free or low cost games on smartphones, iPads and iPhones as well as other devices. While you're right that these games may lack the depth of Uncharted or even many 3DS or PSP games, they are also significantly cheaper and for a lot of people, they are exactly what they want in a handheld experience.
People only have a certain number of hours of free time in a day or week and that free time is getting spread over more and more devices and content sources. A decade ago, there was no Youtube or Hulu or Redbox or Netflix or Gamefly or VOD or any number of other content providers. Today, even small children have acccess to iPads and mobile phones where they may not have access to a $250 handheld gaming system with $40+ games and mandatory memory cards. For the first time last year, mobile games were a huge part of EA's overall sales and other major developer/publishers reported similar results. While mobile gaming may not kill handheld gaming, it is a very serious threat and the days of $40-$50 handheld games may be very shortlived if Nintendo's recent 3DS experience is any guide.