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It wouldn't suprise me if Apple did enter the console war as right now Nintendo have the casual audience all to themselves and that must be eating away at apple, after all make marketable, user friendly, innofensive yet highly desirable stuff that people seem to want to throw money at is what they do.

If they offered some kind of exclusve Ipod, Iphone connectivity - perhaps like the DS demo station but where games coupld be ported over in full and played on the go, a safari browser so the advantages SSBB, Majestico etc are beginning to use the browser for could also be implemented on that, similar control methods and a few third parties on board for launch they may take a bite of that market.