3DS is actually selling well in Japan (weekly in Japan > US (NPD) which is amazing) and seeing the games released in Japan this holidays I'm sure it will do excellent there.
The West is the main issue here, it needs to find somewhere to start from. Unfortunately most of the games announced have been Japan oriented and that's because Japanese actually see handheld as a substitute for the console market e.g.: DQ9 released on DS, the flux of DS/PSP games that used to be on PS2, etc..
In the west though that hasn't been the case, with the best DS selling games being strictly handheld. You won't see a CoD game selling like hotcakes on DS. And the PSP didn't get going at all. So what I'm trying to say is that Nintendo have to deal with the 3DS situation the west differently and focus on 1st party games like they did with the DS, because that was its main force. When SM3D releases, i think we'll see things slightly different. however the 3DS needs much much more
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