Handheld War: Library of Games in the Future

By the time the next "Game Boy" is released -- assuming that it will use CDs or non-cartridge based storage as a medium -- wouldn't the competing "PSP" by then already have a bigger library of games from the current PSP, since Sony would no doubt make any subsequent PSP models backward compatible and Nintendo will most likely be forced to let go of their cartridge feature in their next Game Boy device to conserve both space and cost?

So, in essence, Nintendo's next GB handheld might be "starting over" by dispossessing their enormous library of GB, GBA, and possibly DS games, while Sony's will have a leg up on their future PSP (whatever it will be called then) that could very well boast an enormous library from this generation?
 
Even if it was a disk based system (and the only reason I could see Nintendo doing this is to add the ability to play Gamecube games), I would expect it to have a cartridge slot too...
 
3DM is here to stay. Don't be surprised if cards are exceeding PSP's 1.8GB by the time the next Game Boy hits the market.
 
I think they'll definitely keep backwards compatibility with the GBA regardless of what media the system primarily uses, the only question is how helpful it will be.

I think the DS launching in between is going to moot the effect of GBA compatibility, because the GBA is clearly going to lose a lot of interest from developers and consumers by 2006/2007, and obviously if the next GB has 1 screen, that's going to create a hurdle for DS compatility (I suppose if ithey went with a single touch screen that was large enough, they could have a sort of awkard split screen compatility, which might work ok for some games, and not so well for others).
 
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