@Haxxiy: I do agree that Nintendo had prepared for potential failure with Wii. They could easilly had went though this gen with another 20M sales and make a nice profit. But you're not seeing the big picture here:
If Wii could handle the same games with PS360, devs would be porting their games back and forth. This would really cause Wiis controls just to be a gimmick.
Now that Wii can't handle PS360 games, devs can't just port their games to Wii or the opposite (though, multiplatform developement from the beginning makes this a lot more viable option) and the devs are forced to rebuild their games so that it's practically the same to do a completely new game.
Now Wii differentiates itself from the competition by its software and as time passes, Wii keeps selling and devs shift their focus to Wii, Wii starts to get similar titles with PS360 (and the majority of games), Wii is getting more and more desirable option even for the PS360 audience. In a way, it doesn't matter to Nintendo whether people only buy a Wii or Wii to go along with PS3 or 360, since Wii is always going to beat both with its games library. Of course, Nintendo knows it can't reach the graphically most demanding audience with Wii, but this group is the minority anyway.
So, at the surface it may look like that in retrospect Nintendo did a dumb decision, but digging it a little deeper reveals that cheap developement costs combined with expensive porting, Nintendo has locked a shitload of 3rd party exclusives to itself - which was the plan from the beginning and makes the strategy of lower powered hardware genious.
And, Nintendo wouldn't be at any higher marketshare due to them selling everything they manufacture at the moment.
Ei Kiinasti.
Eikä Japanisti.
Vaan pannaan jalalla koreasti.
Nintendo games sell only on Nintendo system.
