No. I don't enjoy seeing the high def systems fail. The attitudes that those two companies have towards Nintendo make it not nearly as depressing as it should be though. They both dismissed the Wii entirely and made statements basically saying that it would be Nintendo's final system. The Wii remote was looked at as a gimmick until it was seen that it actually would work. Statements like Nintendo's bringing back the Power Glove were being made. Sony had the attitude that they ruled the world and that everybody would run out to buy there system regarless of the price or the lack of games for it when it was launched. All of this said, I suppose that I'm happy that Sony and Microsoft got a wake up call. I don't want them to fail. Also to touch on another point tha the OP made; the Wii is not going to destroy gaming as we know it. The "fad" of SO MANY high budget FPS games will end though.
Proud member of the SONIC SUPPORT SQUAD
Tag "Sorry man. Someone pissed in my Wheaties."
"There are like ten games a year that sell over a million units." High Voltage CEO - Eric Nofsinger
