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Kytiara said:
 

edit: Also, you don't have to like the guy, but he's undeniably intelligent. I don't see him jut making things up like this so I agree that it was most likely supposed to be Nintendo he was talking about, and not Sony.

 No, I'd say he meant Sony. Microsoft and Bill Gates have been remarkably pre-occupied with Sony for years, as you'd hear in a multitude of interviews. They basically intended Xbox as a method to stave off what they thought would end up as Sony's dominance of home computing through Playstation. Microsoft only mentions Nintendo when people question him about them, and then only to say either how silly, minor, irrelavent and niche their products are, or how they'd like to buy them if they could.