PSP Go

When pressed to find a disappointment in the gaming space this year, GameStop senior vice president of merchandising and marketing, Bob McKenzie, pointed to Sony's PSP.

"If I were to pick a disappointment, the only thing would be looking at the number of titles that launched on the PSP format compared to the prior year," McKenzie told video game publication Eurogamer in a recent interview. "I think Sony did a great job two years ago in terms of coming out with a pretty good lineup of PSP offerings, and I didn't see that breadth of titles this year."

Sony's PSP games page reveals few games that hit store shelves this year have left a mark on gamers, aside from favorites like Kingdom Hearts: Birth By Sleep and Madden NFL 11. The recently released God of War: Ghost of Sparta is arguably the biggest release on the PSP this year, and so far has garnered strong reviews from critics.

But games might just be the least of Sony's worries right now. PSP sales are plummeting. In fact, in August, the last month for which market-research firm NPD reported hardware unit sales, Sony sold just 79,400 PSP units. In August 2009, it sold 140,300 PSP units.

Sony isn't ignoring the slumping sales. The company announced late last month that it dropped the price of its PSP Go from $249.99 to $199.99, bringing it to within $30 of Nintendo's DSi XL and $50 of the DSi. The company's PSP-3000, which retails for $169.99, was not discounted.

Going forward, Sony might also try to jump-start its mobile hardware sales with the release of the rumored PSP2. Although Sony has been mum on the PSP2, speculation abounds that the device will go on sale in 2011. Rumors suggest the device will feature an HD display and a touch pad on the back.