NJ5 on 05 December 2009
Two reasons:
1- They were targeting the existing gaming audience, which is more graphics-oriented than the expanded audience the Wii captured.
2- They overestimated their brand power. That's pretty obvious from the declarations of their execs before launching the PS3 (things like "people will get another job to buy the PS3", "the generation starts when we say so", etc.).
My Mario Kart Wii friend code: 2707-1866-0957
