This is marketed towards a very limited market. It's a $100 machine that let's you play handheld games on your TV. It has a slot for those handheld games. So, only people with a PSP or VITA will find this of any use. We don't know the monetization of older games, if it will come via a subscription, or pay per game or some other way. We also don't know how well this will work. We don't know when these older games will even become available. This all sounds linked to Gaikai the PS4 streaming service which won't be available until sometime in 2014.
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Considering almost no one has bought a Vita, it's a very limited market...
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Not only that but VITA games that require the touchpad or touchscreen won't be supported on VITA TV.