I find it interesting that the speculation always runs along the lines of improving what's been done successfully, and never on making what failed in the past work right this time around... Especially in light of the fact that this is what sets the Wii and DS apart from their competition, and that Nintendo's stated that their new mission is to "disrupt before they get disrupted". Improving what's there already won't do that.
My own bet is pretty much along the same lines as Tokoro's: Nintendo will most likely tackle virtual reality next. But in the classic accessible Nintendo fashion: nothing complicated, just a simple system-in-the-headgear device and a glove (possibly two, but only if they can make them available for sale for under $40). But the real genius will be its compatibility with either the Wii or their next home console system. What better way to bypass the television format issue than to give a better gaming-related alternative to using a television? It will seriously piss off the HDTV crowd, but most will be thankful for the expansion into a new realm of possibility (such as near-1:1 head tracking), and won't care that it means that their TV is no longer required for gaming.
Sky Render - Sanity is for the weak.
