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Ail said:
And this is why smartphones will win in the end...

http://www.gamasutra.com/view/news/28094/ComScore_US_Mobile_Gamer_Base_Declines_Smartphones_To_Pick_Up_Slack.php

You're actually very correct, in fact they've won already. The big mistake I made when I originally championed the Wii and I think other people are sort of making with smart phones without noticing, is deeming everything else irrelevant. But in principle you're absolutely right, what is also important is the value that exists in differenciation, sometimes there is more opportunity there than we originally think.