/vr/ - Retro Games

>>7896036
The issue with the Vita was trying to compete with Nintendo.

Nintendo doesn't sell their consoles at a loss.
$250 for a launch 3DS netted Nintendo a tidy profit.
Sony tried to pricematch the 3DS and set the cost at $250; in doing so they took a fairly huge loss on each unit sold.
Their strategy was to make up for the loss by selling proprietary memory cards (also an antipiracy measure) at a hefty premium. It wasn't until you bought a Vita, a memory card, and a game that Sony saw one cent in profit. This was an extremely risky strategy, compared to just charging $350 for it like they should have.
Nintendo saw the Vita's $250 pricetag, immediately dropped the 3DS's price to $170 right before the holiday season (taking a loss until production was streamlined), and completely gutted Sony.

If they hadn't tried to compete it wouldn't have forced Nintendo's hand, and things might have played out differently.