Dammit Sony, you just had to improve upon it and then you went and fucked it up with the Vita :/
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They actually also made the go and a literal gaming cellphone at this time. I think they were trying to move away from the disks (they were up against the DS) and tried lots of things but put all the money in the hardware instead of the games.
Cause they are like Nintendo when you look at their main consoles.
It's a great piece of hardware. Truly impressive and worth being praised for it but it failed super hard. And it's not they didn't keep up they just didn't use enough of the budget to pay developers to develop the games, and thought people would just be excited about the hardware like they were.
The xperia play was not made by PlayStation and in fact PlayStation did not like the idea that they were using the PlayStation brand. That was all on big boy Sony and Sony Ericsson.