I think all this investment in tech by MS and Sony will pay off in the long run. It might not be going exactly as the expected nonetheless. Nintendo was very sly when they decided to make their console different and tapped into another market, but, of this newly created market, who will buy the next Nintendo console? I don't think all the casuals will follow suite and buy the next-gen consoles like us "core" gamers do. A while ago, we heard some spokesperson from square (I think?) saying that in the future, 20 - 30 years from now, consoles will basically be giant networks where we can all interact. I think Sony and MS have made far bigger strides in this than Nintendo has.