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I am not in the least worried about the Wii U, but I'm willing to take the long view. This is going to be a long generation, and almost everything about the Wii U fits into an entertainment center. In fact, between the low price and a mostly exclusive library, THE WII U NATURALLY COMPLEMENTS ANOTHER CONSOLE, RATHER THAN COMPETING WITH IT.

That's a genius niche for a long cycle.

Once the PS4 and the XBone cool off from the launches and gamers figure this out (circa 2015) the Wii U will start to sell like wildfire. Especially if it gets a price-cut and titles like Zelda and X are there.