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Do I agree with him? Eh. Look at the sales of the HD consoles compared to the Wii. Yet we still hear about how Wii is doomed, and they'll thrive. If Nintendo has really expanded the market (They must've, seeing as how both MS and Sony are now following Nintendo's lead) then the old rules of what sells in games no longer applies.

And I don't believe Nintendo has become arrogant. They've handled their success quite well I must say. Even when others have tried to knock them down with petty insults. And Nintendo has said, and I agree with, that games like Wii Music are faster to make. So it's not that they've abandoned core games, it just takes longer to complete them. While in the same time frame, three 'Wii' branded games can be released while something like Zelda could still be in development.