I also saw an add for House of Flying Daggers last night, and it said at the end, "Now available on DVD and PSP UMD." This looks bad for the DS, methinks.
Maybe I'm just worrying too much. I just hope that the PSP and GB next don't eradiate 2D gaming. At this rate only Capcom and SNK Playmore will be making 2D games by the end of the decade.