Nintendo, which cut the price of its popular Wii videogame console last month, has been looking to bolster demand for the DSi, whose monthly sales have slowed to a third of their peak levels following its launch about a year ago.

Nintendo’s hand-held, which now has a 3.25-inch screen, is struggling against competition from Apple’s iPhone, whose screen is about the same size.

The new version will have a screen larger than 4 inches, which would put it roughly on a par with the screen on Sony’s PlayStation portable game player, the Nikkei said.

“A bigger screen alone does not count for much,” said KBC Securities analyst Hiroshi Kamide, adding that Nintendo needs better graphics quality and a more powerful chip to run multimedia-type games and become more competitive.

“Nintendo is under pressure from iPhone and iTouch.”

The DSi now uses a chip by ARM Holdings.

The large-screen DSi will sell for 18,900 yen (NZ$275), about the same as the current version, the Nikkei said.

Nintendo spokeswoman Yuka Tanegashima declined to comment.

Nintendo also plans to launch a version of the DSi with more robust anti-piracy features for the Chinese and South Korean markets by the end of the current business year in March 2010, the Nikkei said.

source http://www.stuff.co.nz/technology/games/3005590/Nintendo-plans-new-DSi-handheld-report

Expect lots of cute puzzles and the like to solve, the same stylus and point game play as Phantom Hourglass the  had and of course the saving of a princess.

It’s set for a release in early December and if it plays as good as Phantom Hourglass then that will keep most pretty contented.