Tech blog Digital Foundry reports that sources "intimately involved with the alliances and deal-making within their sector" have effectively confirmed that Nintendo and nVidia are teaming up for the next DS. The report also mentions that Sony has formed an alliance with IMG for the PSP2, which is expected to be a "technological monster." While neither devices have been flat-out confirmed by both groups, Digital Foundry tosses around some tentative tech specs for the next generation of handheld gaming supposedly leaked by industry insiders.

Digital downloads seem to be the way of the future, looking at the current landscape of the gaming industry now. Even analysts say that retail will be overtaken by digital distribution in a mere three years' time. Nintendo's big boss, Satoru Iwata, begs to differ, however. To him, digital distribution will sure be a hit -- but not till 20 years later.

The 2009 Today's Gamers International Survey reveals a fact that has been pretty obvious for quite a while now: more and more US citizens consider playing video games as their primary past time.

Things were pretty quiet on the PSP blog this week. Some good news still managed to filter through, though: There's a new Monster Hunter entry in the works, Kojima Productions is still cranking out the demos to tweak Peace Walker even further, and there's  new LocoRoco game out. Of course, you gotta take the good with the bad: we also got news of Fireteam Bravo 3 getting delayed this week.

Last August, we reported on this "insider info" pertaining to an alleged PSP-4000, which will not only phase out the PSP-3000, but will also revive the neglected UMD format. Now, even the industry's foremost analysts are saying they won't be surprised at all if this turns out to be true. You know what they say: where there's smoke, there's sure to be barbecue.

Gundam creator Yoshiyuki Tomino thinks games are evil. He's said it before, and he's not afraid to say it again. This time, however, he does give credit to what he believes are technological advancements brought forth by video game hardware.

Nintendo's main man in America, Reggie Fils-Aime, is making it known that he's not that much of a fan of the PSP Go, characterizing its concept as problematic. In an article from The Washington Post, it is reported that Fils-Aime described the newest Sony handheld as having a "fundamental concept problem."

Set sail for fail. That's what the independent games chain Chips' managing director believes where the PSP Go is headed to. Don McCabe is of the (rather) strong opinion that the PSP Go will "fail miserably."

This sounds grim. Speakers at the upcoming London Games Conference are forecasting that in three years' time, retail would have been outstripped by digital distribution. Not only that, but 40% of the companies in the games industry will be caught unprepared for this shift in consumer choice.

Always quick with a comment, Michael Pachter has weighed in on the rumor about Microsoft buying Electronic Arts. As far as the Wedbush Morgan analyst is concerned, the rumor doesn't make any sense at all.