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RolStoppable said:

This is terrible denial or misinterpretation of the situation. And this:

"Once consumers have a notion that 'this system is not for us', we have learned that it is extremely difficult to change their perceptions later," said Iwata.

What does Nintendo think will happen if the masses decide that the Wii U is not for them? Like what happened to the 3DS. Nintendo will be forced to cut the Wii U price and try to rectify the damage they did to their system by setting their priorities wrong.

Good point, Rol. Similarly, it might be already too late as some core gamers could actually consider that a Wii is a Wii and that the "U" makes no difference. What if their opinion is "Nintendo is not for us"? M. Iwata seems to reckon he will get core gamers back with a couple of 3rd party core games, but it may be trickier than that...