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nintendo hasn't been in the market for hardcore gamers since the N64, which is probably what patcher is talking about.
Nintendo won't die off, it will just stay casual.
the hand held market.. well, not sure yet, a huge chunk of it is now in smart phone territory, but there are lots of kids that want a hand held, some adults will want them for those boring times at work or bus rides as well.

that said, patcher is always wrong chances are the wii u sales will be huge. there was a graph lying around somewhere about the ages of people who preferred the wii.. and it was basically a hit with 7-12 year olds, and people over 30.
flopped with teens and 20's, which is the hardcore gaming market.
If i end up getting a wii-u it will be later in the gen, and only if they have some really good classics that are remade and have online play.. give me mario party 1 with online D: