The DS is selling. It is selling so well, it sold more units last month than PS3 and PSP combined (and I'm a PS3 fan.) That's why Nintendo isn't changing anything. They don't have to. The numbers speak for themselves:
NPD’s Top Hardware Sales in July, 2008
Nintendo DS – 608,400 Nintendo Wii – 555,000 Sony PlayStation 3 – 224,900 Sony PlayStation Portable – 221,700 Microsoft XBox 360 – 204,800 Sony PlayStation 2 – 155,500
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I was thinking the same thing about the Vaio P looking like a ginormous phone.