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Developement cost for DS software is cheap and yean high returns. You just need to see the amount of Shovelware on the DS like the Imagine series. So i doubt anybody will complain since the profit margin is high.
Now software development cost for the PSP can run up till as high as one for a console if some decent amount of profit is expected. And I doubt the majority of the masses will want to foot out a console-priced handheld software if it's nothing exceptional, so the developer need to work on a thin profit margin. Factored in the usual shit like lack of hype, piracy, negative review, etc....You can basically see why 3rd party developers actually hesitated on the PSP for the DS.
The only thing that the PSP is in need for the US market is a monster hit like Monster Hunter for Japanese Market or DJ MAX for Korean Market.
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