From Gamesradar.com :
"Nintendo DS not designed to rival Sony PSP
[22/01/04 16:40]
Fear not though, Ninty have confirmed that a GBA successor will be up to the task
After the shock news on Wednesday of Nintendo\'s new twin-screened handheld, due to launch later this year, the company has confirmed that this doesn\'t mark the beginning of the end for their trusted Game Boy.
Nintendo have emphasized that the DS - which won\'t play either Gamecube or GBA titles - is not designed as a competitor to Sony\'s forthcoming PSP and that task will instead fall to the successor to the Game Boy Advance.
"We\'re not trying to take on PSP [with the Nintendo DS] because this machine will be completely different to anything that exists right now," reckons Nintendo spokesman Yasuhiro Minagawa. "The next generation of Game Boy is well into its development. It will be this machine that competes directly with Sony\'s PSP."
So it seems as if the quirky DS is designed to take a tangential role in the handheld market while the PSP and Game Boy Next fight out it for the number one spot. Whether there will be enough demand for portable gaming that three handheld machines are a viable proposition remains to be seen. And with the ever-increasing popularlity of mobile phone games, it certainly seems as if the DS will have its work cut out"
See ? GBA Next will be the one taking on PSP. Still, imo DS is a bit of market saturation if it doesn\'t differentiate enough.