I actually do own a Vita, and bought it when the naive promise that Sega was going to release PSO2 here for it on the Vita, a promise that hasn't played out very well.
Now, as far as the statement about the price of the console goes... you're missing core details which change the valuation of that media I mentioned quite strongly.
First, yes it is compared well against the price of Smartphones, however... the Vita is not a smartphone. It it a personal, handheld gaming device whose main competition in the hand-held market is the DS and 3DS. They are reasonably priced against each other on the baseline, until you realize that if you want to do any of the wonderful downloading of games (that the 3DS does natively, mind you), you must have one of their memory cards. Note that the base $199 WiFi unit does not come with a memory card so you will be required to buy at least the 16GB one unless you got the bundle that comes with an 8GB (which why wouldn't you since you get the card and a game for the same price?).
The problem beyond that lies not so much in the price of the memory cards, themselves, but the fact that the cards are little more than SD cards in a proprietary form-factor which means you can't use standard SD cards with them even though the internal specs are virtually the same. What does that mean? Standard 16GB SanDisk SD Card is $8.44 on Amazon. 16GB Vita card is $34.99. That is 4x the price... for what is basically the same tech squeezed into a different box where the "box" has all the specialized functionality of a SD Micro adapter (which, by the way, is only like $4 so you bring the price of the SD card to $12 and the Vita card is still nearly 3x the cost).
Vita had all the chances to be a good product, and honestly it is a powerful system and I would have loved to have seen more from it then we have. However, despite the system being more economically priced now (it was much more than $199 on release), the cost of those cards in addition to the lack of any real content released on it were a downright killer and have kept it from gaining any real traction in the market.



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