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FishyJoe said:
There is no comparison to Atari, I'm not sure why people keep bringing up that analogy. Atari was sold to larger corporate entities that had totally screwed up the the original company. Maybe you should study why Atari failed instead of rewriting history.

People bring it because of this gamasutra article : 

http://www.gamasutra.com/php-bin/news_index.php?story=18483

 Japan is the first market that has massively being overtaken by casual gaming and you can't really say that the size of the gaming industry has increased there over the last 2 years so it was done at the expense of core gaming...

The key sentence in the article is the fact that 'there are way too many new DS titles at once' which is what is worrying Japanese developers.



PS3-Xbox360 gap : 1.5 millions and going up in PS3 favor !

PS3-Wii gap : 20 millions and going down !