This makes sense to me. The big deal for Nintendo this whole time is that they wanted to unify their console and handheld product lines (the games themselves, mostly, hardware secondary) and improve the hardware and experience in handheld gaming, and it looks like they've done a pretty good job to me. $200 is ok, it's about what the 3ds cost at launch, but it'll go down over time. Considering what hardware is inside, it packs a much better punch than a smartphone that costs several times that amount, and has a much better game library.