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I disagree with Iwata here, I think it's due to the high price tag, the lack of software (Ninty really should have had more software out by now) and it's lack of appeal to the expanded audience who made up the majority of Wii/DS. Once Nintendo rolls out some big games (Mario Kart/Super Mario/Kid Icarus etc), gets the price below $200 and has something for the expanded audience, a Brain Training perhaps, then we'll see 3DS spark off.