Given the specs involved, one of the biggest surprises during Sony's PS Vita unveiling at its E3 press briefing was the handheld's price.

With the wi-fi only edition coming in at $249, Sony's PSP successor will compete directly on the shop shelves with both 3DS and iPod touch, but said price point also means the company will sell each device at a loss.

Three year target

The revelation was made by SCE CEO Kaz Hirai in an interview with Reuters, with turning a profit on the device within its first three years a prime target for the company.

To do that, Hirai believes PS Vita will need to surpass the 70 million units PSP has sold to date – a target MF Global analyst Jay Defibaugh believes is in the handheld's reach, despite increasing competition from smartphones.

"I think it's definitely possible, although I don't model that right now, given the bigger emphasis on connectivity," said Defibaugh.

"All things considered, the handheld market has more exposure to the increasing popularity of smartphone-based gaming."

In a separate interview, SCEA head Jack Tretton also told Reuters that Vita will hit Japan first before the end of 2011, while other regions will have to wait until 2012.

[source: Reuters]