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Rpruett said:

It's not as vulnerable because Sony will do what is necessary to prop their best division within the company up.  Nintendo can't do anything other than watch.  Again, great news for them is they dominate the handheld market.  However, with everyone owning smart phones with increasingly more power, better, bigger screens and more game playing occurring on them?  Handhelds are a dying breed.

You speak as though Sony is able to persevere through any difficulty and Nintendo has no choice other than to take a hit and wish for the best, which is untrue, proven this very generation when they completey changed strategies with the Wii.  Whether or not Nintendo can devise a winning strategy in the next gen as they venture into HD remains to be seen, but saying "they can't do anything but watch" is absurd.

 

Nintendo doesn't play the large scale wars as well as Microsoft or Sony.  When they fall, they fall hard.

@Underlined:  Actually, no they don't, or at least haven't yet.  The Gamecube only sold about 1/3 as many units in its entire life as the PS3 has so far, and also had laughable 3rd party support in comparison as well.  However, Nintendo still profited as a company in the Gamecube generation whereas Sony has used up all of their previous profits this gen.  So which of the two has fallen harder?  Remember, protecting your company's bottom line is still part of a greater strategy in a "large scale war".