I soooo care about sports games *humps EA*
(kidding with a mixture of sarcasm
)
Both handhelds have been doing tougher overall. More people are modding PSP because its easier, more 3rd party accessories obviously because PSP is video also, etc... I think what will happen is Sony will cut a decent chunk of the handheld market because well, this time its a company that has more then games to fallback on if for some 'screw'all reason they fail the handheld market unlike Sega and others who just have little funds to fallback on if it fails.
DS will have the quirky games everyone says is the biggest piles of crap but others will proclaim as awesome (Nintendogs comes to mind). PSP will have all the PS2 ports and eventually people are gonna complain more and more about less original PSP games. But DS has that syndrome also. Nintendo needs to get fresh games, not rehash. Mario 64DS was great and all but come on Nintendo, your better then that. The new Mario game is shaping to be awesome but I'm starting to get slowly sick of all the rehashes for overpriced fees *cough GBA Classics series* for 5-20 year old games.
Both in the end will win. PSP will be successful because of its video capability whereas Nintendo will be successful because of the way you can play games in a new way. Granted, touch screen has been around for quite awhile but not implemented heavily into games.