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Designed by engineers who had worked on the Amiga and then picked up by Atari, the Lynx shipped with a backlit color display, hardware sprite scaling and cable multiplayer, but battery drain and a thin library kept it marginal.
The handheld contest of 1989 produced something close to a natural experiment. Better hardware lost to cheaper hardware with a stronger library and longer battery life, and the outcome is still used to argue that portable design is governed by price, power and software rather than by raw capability.
