Microsoft are Working on a PSP/Ipod/DS Killer

[nexus68]

It's not difficult to be better than Sony's PSP particularly in video and audio. PsP is a great machine but too restricted. And if you can play xbox1 games, run XBMC and emulators

[sephy23]

Well, its sort of a reverse dynamic. Where the XBOX 360 will have a year on the PS3, the PSP will have over 1 year head start on this new microsoft gadget and it fact that Sony will continue and improve upon the PSP. I am skeptical if about a Microsoft handheld gaming device being better than Sony's PSP.

personally i think this is what will happen....
this mini xbox will probably launch around spring or fall of 2007..they will announce this at E3 this year...since they are probably still pretty premature with their designs...they will have a large trail behind sony and nintendo...its been more than a year already since psp came out. so say about a little over 2 years...they get there system out... it may do somewhat well for the first few months, it may not. who knows... being microsoft they will probably look at what the competitors have and go from there....people like the size and shape and power of psp...and the inovation and cheapness of the DS...they will land somehwhere in between although i think they will lean more toward the psp's power capabilities.
then that E3 or the one after that (so 2007 or 2008), Sony will announce a new handheld (that they have been working on since microsoft announced there lil thing) or at least another version of the psp (think PSP light) and will work on its flaws, like the lack of a second analog stick, the firmware problem, (allow homebrew but not ISO use) trust me they will find a way with a start from scratch on the OS. they will launch it sometime in late 2007 or early 2008...so basically the mini xbox will have about 8 months MAX im guessing to get itself off the ground. whereas the psp took about a year...and it was the most succesful system launch Sony has EVER had (better than the PS2 or PS1)....so they will have to pull something out of their ass to get off quick. they will also have to likely create their own disc type as well while trying to do all of this...(which took sony a long time to prep) if they have a handheld playing xbox dvds, its too big and wont go far. so they will make something of their own, not to mention that this is their first venture into the handheld market. so they will launch their device with prolly dual analogs and good movie and music support...well 8 months later Sony will prolly launch a perfected PSP or new handheld all together...for cheap that the initial psp since the UMD disc has been out in circulation for a while so prices are now down...in the end i think microsoft will have the spotlight only for a few months at first (unless their system is a very powerful handheld even more so than the psp which is doubtful because of selling cost) so if they have any limelight, it will last only about half a year until the second coming of Sony and nintendo...but thats just my unbiased guess.