Pretty... but badly made
I've seen this sort of thing from Sony for many years. They design some clever stuff, then try to put it into the small possible chassis they can think of. They're (in)famous for it.
The big problem lies in the fact that this stuff is so damn flimsy that it breaks/falls apart/catches fire as soon as you look at it. Take a good look at the PSP. Beautiful design, works brilliantly, but it's about as robust as Gordon Brown's credibility. It might actually be stronger if it were made of glass.
Sony seem hellbent on putting so many components into such a small frame, that I'd swear blind that they are using some form multi-dimensional PCB technology to create a handheld games console that can play games, videos, microwave small meals, save small children from wild animals, make phone calls, deliver emergency medical aid to 3rd world countries, etc., but none of it is worth shit if it breaks when the wind changes direction.
Sony - read this: We don't care about small. Our western obesity means our fingers our too bloody big and clumsy to handle the small crap you build. Try building gear that we can drop on occasions, that can survive a bit of rainwater, perhaps even (hold on... steady now...) make it past the warranty with all the dullness and uneventfulness of a housebrick.
Paris - she knows when she's holding something big, hard and longlasting.