An iGame? Surely Not

This scan of an April Edition of an Apple magazine was posted up on Engadget today. Surely it can't be true... Would apple actually consider taking on Sony and Nintendo in the Handheld Market? Every competitor that has come up against Nintendo has well and truly lost and although the fight is still raging with the PSP, the DS is certainly holding it's ground. Would Apple actually be able or want to crack into the gaming market? I think is would be a significant shift of direction for their iPod market.

There is also the games to consider? The current Mac platform isn't know for it's games, would Apple be looking to draw on exisitng titles in the market or are the looking at developing their own and opening up another third party development stream...

I think if it is true... the PSP should be shaking in it's boots as a US$1.99 episode of Lost on your iGame would be a much better idea than a $30+ UMD movie and the infrastructure is already there....