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Torillian said:
His whole argument falls on the idea that PS3 and 360 are going totally motion control next gen. I see nothing that would make me think that. 

Actually, not. 

His original arguement in a previous post was that Natal is vaporware, it is not a serious plan to imitate Nintendo, just a marketing strategy to have a nice E3 show, and pretend to be futuristic. Even if it will be released sometimes(he doubted even that), it will be only a token effort. (and Nintendo will destroy them with a more agressive WM+ support)

This post is a "what if" scenario for the unlikely case that Microsoft takes Natal seriously. He began with that:

"If these motion controls come out at the time they say, and do what they are supposed to, and even sell to the public, consider the ramifications."

 

I'm not sure that it is a good idea to post all of his blog posts here, often they are grabbed out of context. 

For example, you mentioned the concept of the "death of hardcore gaming". He already wrote several epic-sized articles on the subject of disruption (a business strategy, that's professionals already recognised Wii as a disruptor) , that explains why motion controls must take over the video game industry, and why the incumbrents, Sony and Microsoft won't be able to accomodate.

This blogpost is not his "proof" why hardcore gaming will die, it is just discussing why this particular news won't effect the previous situation, that he already wrote about.