Yes. Nintendo carved out a market for (larger) handhelds that no one really thought existed, after Vitas failure and 3DS selling half of its predecessor.
Interestingly, 3DS was observed like a decent success compared to Vita.
But in fact, both sold 60-75 million less than their predecessor, in absolute numbers.
So the handheld market suddenly sold 150 million fewer units, due to smartphones.
Both makers lost a similar amount of market share, Nintendo just had a much larger share to begin with.
As such, Sony focused on their home consoles and abandoned handhelds.
Nintendo found a market in the middle, where there were no competitors.
The Switch 2 will be a much harder sell it seems, because now many mighty competitors want a share of that market.