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Although the Wii U has the capability to use 2 gamepads at once the system simply doesn't have the power to do it unless the graphics and frame rate take huge hit.
For anyone who's tried to play 2 players in Hyrule Warriors can attest, when the console is asked to run the game twice on different screens it slows down to a snails pace with awful resolution. It would only work for very simple games.
That is why the upcoming Starfox game is actually quite an achievement on Wii U hardware. The have the 2nd screen running at 60fps is incredible considering the Wii U specs.