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Wii will also see a healthy bump in units sold overall, obviously.

And it IS about price, not just blue ocean, not primarily that people are rewarding Nintendo for supposedly having 'better' games...sales are in large part a function of price, because price is one major component of value.  And when PS3 came down into the near-Wii price range, well, Wii had to vacate if they wanted to maintain a strong 1st place position in home console sales.