They could be....
It really depends upon the developers. The Wii is going to be a huge hit the whole generation and will continue to pull people from any number of markets into its stranglehold....those are the casuals. They will buy games for the machine....but not as many as gamers. Nintendo certainly has its share of hardcore fans and core fans so the sales numbers will be decent even though the majority of Wii owners will be soccer moms, old folks, and other expanded audience members.
If developers just go off this and think that they should follow the money then the 360's days are certainly numbered. The potential market for the 360 is not nearly the size of the Sony or Nintendo's. Both Sony and Nintendo have shown proven success (in one generation or another) at both catering to and luring in casual gamers. The 360, except for Sports/Rhythm games hasn't been able to push over to the mainstream casual gamer....and probably never will. They have a reputation as a hardcore system so they will have to take what spoils that affords them.
The thing is....360 owners love games. They buy a lot of them...bushels full of them. Even when the Wii market is booming the 360 will be able to keep up with them software-wise, just on the backs of the main 360 audience.
If the developers remember that...then the 360 is fine. If they forget or doubt that...then as they stop making games for the system it has only one play to go...that of the XBOX/Game Cube. No number of price cuts will help them (even a $99 Price point) if they don;t have the full support of the development community.
2008 is the year that decides if this generation is a two or three-horsed race.







