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Yea but Nintendo aren't competing against PS3/360, they are competing with the PS4/720.

As much as Nintendo like to say they don't care what the competitors do, Nintendo really need to market this thing as something that is beyond what is currently available on the market, not just something that is on par with whats on the market. If they don't do this they run the risk of the Wii U simply becoming the Wii HD, which at this point just won't cut it as both the PS3/360 with Move/Kinect can fill in for that role for a lower price (even lower by the time Wii U comes out).