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Not sure how important this is? PS2 only had support for 2 players*, I don't think this stunted much of its' growth.  Are there very many simultaneous 4 player games on the Wii? Without dismissing this entirely, maybe forcing people to 'take turns' like in Wii Sports makes it more of a family experience? Everyone focusing on their own screen can sometimes be less social.

*Out of the box.