Why can't you get both? Handhelds are predominantly for handhelds whilst cellphones are multimedia devices that have carved out a real niche when it comes to certain games.
For example, Angry Birds has over half a billion downloads. More people most likely played that last year than bought a handheld console. Angry Birds wouldn't have been anywhere near successful with a higher price point on a handheld console as it only limits the audience.
When you say 'good, well-developed games' do you mean games with a fully fledged story or other similar features? Gaming has moved on. Casual gaming has just as much merit as the latest AAA hit. Cellphones are now viable options for gamers and game developers.
I agree with your points, although I feel more strongly about the seven I selected. FIFA, whilst being a good game, hasn't been revolutionary for the past three editions. EA seem to be resting on their laurels and doing the absolute bare minimum.