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I can vouch for the DS. We have 3 in my house. Hopefully my wife got my hints and will get me one for Christmas.
My nephew 7 years old has a PSP and it is really cool, bigger screen, awesome graphics. He prefers the DS and plays ours all the time. He got one for his birthday and the PSP just sits there now.
Costco here is selling a DS with 2 games and a case for 178 CDN.
You can also get a headset for like 10 bucks to use when playing games online so you can chat with the other players.
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