^^
You make some good points, I can't deny it, but you leap too fast to conclusions, maybe.
About the old market shrinking, I suspect it's still more or less slowly growing, instead, but obviously Nintendo still having the whole new one all for itself, while MS and Sony must divide the old one, makes their slices look smaller.
More than a threat for the old market, the new one is a missed opportunity for Sony and MS, if they don't deveelop anything to get a share of it.
But this gen is roughly at the middle of its life as the latest one, and at 1/3 of its life or even less if we take into account also the years the current consoles will be sold as low end models when 8th gen will be the latest. So it's way too early to deduct a definitive trend. I agree with you that Wand and Natal won't grab significant slices of new market from Nintendo, I don't agree that the old market sends signals of shrinking, good games sell well, HW sells decently, and bad games and/or bad management do disasters, as they always did, nothing new about it.







