Here is an idea from Drek717 over at the IGN Boards.
Sony could make a handheld, and it could be an increadable success. Sure, Nintendo has the handheld market dominated, but its not a huge enough market right now, leaving a niche. All sony has to do is come out with a killer product with killer games, and they could do very nicely in america, as well as japan. (japan is more open to new handhelds by the way, neo geo is still going over there, and the wonderswan is bringing some **** to nintendo). All they really need to do is this.
1. use the psx chipset. the ps2 has a full featured scaled down psx chipset already in it, that\'d be easy to stick into a portable. No cost in hardware r&d, then they just need to make it consume less power, not hard compared to some of the things sony has made. Also, slightly enhance the design, touch up the amount of ram, maybe go 64 bit with less mhz processor, that\'d save a lot of power.
2. use mini disc format for it, or some killa memory sticks. No need for a power sucking disc drive. Use small memory sticks for the storage format, then you don\'t have to splurge on a mini disc write feature in there.
3. instead of using a d pad or analog sticks, reinvent the d pad. I\'d recommend a black circle, but depending on how far away from center you move your thumb, the greater degree you move to. Something like this was created on the NES, not analog, but was a really cool controller after getting used to it.
4. advertise, and first thing you do, port the best psx games to it, there you go, a huge first gen lineup.
5. DO NOT GO BACKLIT! This is a power leach, no need for that, however, give a contrast adjustment feature.
There you have it, the way for sony to get into the handheld market. Right now a ps1 chipset costs less than half the system\'s price. Seriously, they could easily get this out for a hundred bucks, damn, some of the cd players they have out would cost them more, oh, and kick in mini disc playback as an extra, then they\'ll sell some mini disc recorders for a change.