It's 2014 and there are two dedicated portable systems on the market, the 3DS and the Vita. It would seem that digital distribution is ideal for portables because while having a few shelves devoted to Playstation or Wii U games is no big deal, taking a bunch of game cases with you on the go, and especially switching games on a crowded bus or train, is a huge PITA. Despite this obvious advantage neither system is well designed for carrying a digital library.
The 3DS is fine from a hardware perspective, permitting the use of cheap 32GB SD cards that can hold loads of 3DS games, but Nintendo is so crap with online services that the system severely punishes you for trying to go all digital. You have to manage a bunch of accounts, if the system is lost or stolen you need to jump through tons of hoops to get your software back, transferring from one system to another is a huge pain etc... It used to be cute how terrible Nintendo was at the Internet but in 2014 it's just infuriating. I have been able to redownload Xbox 360 games at will since 2005. Nine years later I need a police report to do so for the 3DS? Utterly unacceptable. And it makes me nervous carrying the system around because even if it's only worth $200 with the software it's quite a bit more. Add to this the fact that Nintendo's digital pricing is ridiculous (everything stays at MSRP virtually forever and discounts are almost always less than 50% when there are sales) and it's a system well-designed for digital that suffers due to Ninty's awful awful digital rights practices and store.
The Vita has a simpler problem. Memory cards are sold at prices so high that i refuse to buy one out of principal. $90 for 32 gigs when I can get an SD card for $20? Aww hell no. If it was only double the price I might be tempted but Sony has basically lost a customer who would buy a VITA and a bunch of games off PSN with those abusive, garbage, pricing tactics. PSN digital management and Sony's storefront are good (I have a PS3 and PS4) but with a default 4 gig card I might as well be using cartridges since it can only hold one game. I don't want to have to connect to the Internet or my PS3 if I want to switch games, I want my library in my device because it's 2014!
When I was a kid I dreamed of a Game Boy with a whole bunch of games built in that I could switch between at will. You know who delivers on that promise? Apple and Google with their cell phones. Why have two VIDEO GAME companies dropped the ball so thoroughly in this department?
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