I think some are missing the point to this tread and this gens battle. Look right in the OP and the quotes by Mr Iwata.
Nintendo wasn't in some grand design quest to have the most powerful processor or the best rendering GPU or the best optical disc system on the market. They weren't trying to render their opponents obsolete. They were focusing on what they believed their customers wanted from the beginning of their design process and not some "my processor is bigger than yours" contest. And that is the essence of any industry, what the consumer desires.
Now I don't blame Sony or MS for doing what they did because that was the traditional model (polygons/sec) and they continued that tread. Nintendo went back to the drawing board with the DS and Wii and asked themselves "Well we can't compete with these corporate giants on graphics alone, that's what killed us 2 gens in a row and now even our handheld market is threatened, what do we do." And that's when they thought of a new consumer experience, and as such that proved successful.
Kickin' Those Games Old School. - 201 Beaten Games And Counting
