This ipod touch seems like DS

This ipod touch commercial is reminding of the DSi. It just felt as if I were watching a DS/PSP commercial, but no just fooling me. The I see ipod touch having video game being a lot superior in graphics and everything else, will the ipod touch beat the handled competition or not? The resaon I'm posting this because I just saw commercial today. Of course ipod touch is expensive than a psp or DS. Pretty sure the next psp will have touch screen innovation and more data space in it. It's like saying what is going to go on TGS 2008, for the video game industry.