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patjuan32 said:

Yes the GBA was selling well when Nintendo announced the DS. They also announced that it was a third pillar and let's not forget that the Gamecube was not selling as well as Nintendo had hoped. However this situation is different. The Wii is selling exceptionally well and so is the DS. No third pillar is needed. Nor is a successor to the DS. All Nintendo needs to do is focus on software. Once the sales of the Wii and DS begin to decline and price cuts and bundles will no longer matter then the introduction of New hardware is needed but let's not get  ahead of ourselves. The DSi XL has not been relesed in the West and that will boost the sales of the DS, as I previously stated.

Note: Nintendo also had their Online network setup and wanted to take advantage of this new technology, which was becoming a standard. The GBA could not utilize it. Therefore new Technology had to be developed. There's no new technology that requires a DS2 to make use of it.

As for consoles reaching their potential, I think Sony and Nintendo have both gotten as much potential as they could from the PSX, PS2, and the Gameboy. Eventually systems must die becasue technology has moved on and the consumers have moved on also.

The third pillar statement was a way for Nintendo to quickly back track to the GB series if the DS flopped and allowed the PSP to eat into the market share of the handheld market but as it didn't the GB series was killed off. One good reason for them announcing a handheld at this time is that it can allow the new platform to ride the DS momentum which is high even now rather then let it die down, all they need is backwards compatibility and many people will convert like with previous handhelds. You keep mentioning the DSi XL like it matters, the GB Micro wasn't even released when the DS arrived so what, they've already moved 125m DS' if they announce a new platform now I don't think it's that big a deal to them. Either way that's if the is any new hardware which I doubt.