Well, if Nintendo had not made hardware this gen, there would be no one going towards motion controls, and Sony would be less inclined to experiment with 3D gaming to find their new cutting edge to put them back in the game.
Is it a big deal personally? Not really. Would Nintendo ever do it? Nope, the guys at Nintendo are multi-millionaires, and could easily retire tomorrow if they wanted. So, the likely nature of Nintendo dropping out of HW means they would drop off entirely, SW too, which would mean no more Zelda games, which would mean no distraction from me taking over the world and enslaving you all. In turn, that would mean no more gaming for you, because you'd all be my B*tches or dead. So in the end, Nintendo is saving the world.
The Carnival of Shadows - Folk Punk from Asbury Park, New Jersey
http://www.thecarnivalofshadows.com