Nintendo will do fine this holiday despite the launch of competing consoles, because the Nintendo faithful who haven't yet gotten a Wii U will likely have gotten one by the end of the holiday season (or soon thereafter). There are some millions of guaranteed Wii U customers that are waiting for the new 3D Mario, a new Zelda, the next game from Retro; Nintendo should have enough heavy-hitters lined up for the holiday season to start winning those people over.
What Nintendo needs to worry about is 2014 and beyond. Nintendo needs its traditional franchises to bring in more than just the traditional Nintendo gamer, and it needs some serious 3rd-party support in order to keep its lineup from being too sparse. A big casual hit would be nice as well, something that absolutely convinces people that a tablet-controller is something they MUST have. Nintendoland was supposed to be that title, but it fell short; Wii Sports U is likely the next candidate up to bat.
