I don't think Apple is going to approach the video game market anywhere near so directly. Conversely to how the PS3, the Xbox 360, and the PSP are presented as gaming platforms with multimedia functionality, the next-gen Apple TV and iPod/iPhone will be presented as multimedia platforms with gaming functionality. This will allow Apple to encroach on the videogame market without the risk that more direct competition would entail. Apple could move units on their multimedia appeal to establish a userbase, then use that install base to tempt game developers.
This oblique approach to the market also means that Apple will be focusing on uber-casual games, such as those by Pop Cap or showing up on mobile phones.
An interesting thing to note is that a great number of DS games could easily be ported over to the iPod Touch/iPhone. This is another factor which might help Apple get that crucial developer support that they're short on.
"The worst part about these reviews is they are [subjective]--and their scores often depend on how drunk you got the media at a Street Fighter event." — Mona Hamilton, Capcom Senior VP of Marketing
*Image indefinitely borrowed from BrainBoxLtd without his consent.
