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I don't think we should be too quick to judge Reggie or Nintendo. I think Nintendo has never been quick to change because for such a long time they have carved out areas of the game market for themselves where they are unrivalled (in the 80's-90's that was the home console world and in the 2000's that was the handheld world and the Wii). Nintendo never has followed the ebs and flows of the industry since they have always been a company that makes their own path.

What's more, never under-estimate Nintendo's strategy: NES, Game Boy, Pokemon, DS, Wii... Nintendo has cultivated cultural phenomenons on more than one occasion in the last 30 years. According to many in the media, Nintendo is so behind the times and out-of-touch that it's a wonder that they haven't gone out of business decades ago. Yet, somehow, Nintendo has managed to lead the gaming industry for most of this time. More recently they have taken a disasterously undesirable console like the Wii U and made it somewhat profitable through incredibly popular titles like MK8 and Splatoon and the hugely successful Amiibo brand. Sony or Microsoft's presence in the gaming industry would be history if they had released hardware as unpopular as the Wii U.  This is just how talented Nintendo is to be able to carry a weight like the Wii U around its neck.

Here's an important fact: Nintendo is not a technology company, they are a unconventional game creator that likes to exist in it's own experimental sphere and producing hardware is the avenue that allows them to do this. I'm not saying that Nintendo doesn't need to keep up with the times to some degree, but they don't have to be leaders in technology like Sony and Microsoft do.