Wii U is the beginning of the Next Gen. Microsoft and Sony are observing and taking notes.

[Kantor]

Adinnieken said:

The 8th Generation will be defined by expansion of the console into other forms of entertainment and communication.  Yes, I'm predicting that the 8th Generation of consoles will mark the end of the traditional gaming console.  It's already happening across all platforms, but it'll significantly change consoles in the coming generation.

Success will define who wins and loses.  Everyone will need to maintain their core audiences while expanding not only within the gaming sphere (social games) but into entertainment and communication spheres. 

You mean like streaming films, blu-ray movies, music playback and video stores?

Because the PS3 has all of those things. This is nothing new.