I think its because Nintendo dominates the home industry with an iron fist. Reggie and Nintendo also know that Nintendo has another console in the works that they believe will blast Microsoft out of the water. But developers are starting to complain Apple is cutting into handheld markets. The cheap 1$-5$ games are really taking their toll on the market acording to several developers.
So the question is why didn't Reggie say long term. He said short term? I think he knows that the beginning of 3DS is going to be a battle due to the high price of the 3DS and he knows that the I-Phone not PSP2 is going to be Nintendo's biggest competitor for the handheld market.
Software market is what I think he's thinking off, will more software profit come from Apple or Nintendo platforms?
In the end I think Nintendo will be unable to actually do a dent to I-Phone but in the same way I doubt Apple can do a dent to Nintendo. Which is why Reggie said Apple is a short term threat!
-JC7
"In God We Trust - In Games We Play " - Joel Reimer
