Personally...
I hate all in one devices. The worst of all worlds.
I have a Android smartphone. I also have a Honeycomb Asus Transformer Tablet, I have a Sony Walkman A-Series and I also have a PSP GO.
They are all top of their game in what they do, there is certainly overlap, and somtimes I will listen to music on my phone for example, but I prefer to have the best, rather than compromise on a all-in-one.
I also don't see how 99p smartphone/tablet games are in any way related to proper PS Vita games, which are clearly a "proper games". So i'm with Sony on this one, they are different markets. I think these analysts for hire are the crazies here, that don't know thier arse from their elbow and will say whatever the highest bidder wants them to say...