Nintendo recently announced the release of a new handheld gaming device called the Nintendo 3DS. The device features 3D effects that can be seen without wearing special glasses. The 3DS also has interesting new features that the older Nintendo DS doesn't have, such as 3D photography and an analog pad.
Unfortunately for Nintendo, the market for handheld gaming devices is swamped. Sony is expected to release its own 3D handheld in the coming months, and Sharp and LG will be introducing 3D smartphones with gaming capabilities later this year. Apple is also a major player in this market, with devices such as the ipod, iphone, and ipad being popular choices for playing casual games.
It seems to me that the handheld gaming market may quickly become unattractive. With a high amount of rivalry within the market and a very high threat of substitutes from smartphones and ipods/ipads, I question whether staying in this market is a good move for Nintendo.
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