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Khuutra said:

You don't think it more likely that they woud use their warchest and careful consolidation to try to adapt to new market conditions?

Historically, those two things hardly guarantee success.  Microsoft's succeeded by leveraging these brilliantly, but indomnitable behemoths like Kodak, General Motors, and Blockbusters have shown that not everyone can do so successfully.  Nintendo has a leg up on these companies in that they at least seem to be aware of the danger, but obviously it's still an open question whether they'll succeed.  I'm personally not sure the 3DS will meet the challenge with complete success, but...