I don't think Nintendo has failed me personally. I'm much happier with the Wii than I was with the GameCube. I enjoyed the 1st party efforts more, and the lack of 3rd party didn't bother me as much because I had a gaming PC to fall back on.
Business-wise, however, I think Nintendo definitely dropped the ball. They couldn't maintain the support that their console needed while working on launching its successor. This led to many fans becoming bored due to the lack of new titles and relying on competitor's systems for their gaming needs. Now, maybe this was a necessary move because Nintendo is too small to spread their resources like Microsoft or Sony, but I still see that as a failure on their part. With the massive amounts of profits they made over the years, they should have taken the opportunity to grow, so they wouldn't run into the same problems they've been running into since the N64 days.
Maybe with this upcoming restructuring this year things will change, I guess we'll see in 5 years or so.
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