Apple is the company that scares them all.... Wii U sales have been modest and I predict that PS4 and Nextbox sales will follow suit, as sad as it is many people seem to be satisfied by ios games and the next round of consoles must innovate if they expect to sell as well as the last.....
If the next consoles are simply the same as the last with better specs they will struggle.....

I don't think anyone sees Nintendo as a treat in the console wars but in the handhelds they are a huge treat to Sony.

The xbox came out much sooner than the PS3, and the Wii after the xbox as well. So both Nintendo and Sony made their choices. If you're doubting the credibility of OP, take a look in the mirror.

If they try to go with the casual field then Nintendo will be their greatest threat, if they try to be the powerhouse then Sony will be their greatest threat.
If they want to push Kinect with the NextBox then Nintendo will be their greatest threat.

Ha! That post above actually made me laughed.

Edit:. I meant that 'mirror' comment. Not the Nintendo fan.

I don't think Sony was really a threat with the PSP. PSVita on the other hand could have been a threat but Sony kinda botched it and Nintendo is doing everything to stamp it's life out.

Not doubting your credibility. I'm not sure if I have any myself, it's not why I'm here. I don't really know what you meant by that comment, so I'll just ignore it.

Anyway Sony and MS share the same games and the same market. Nintendo has tried penetrating the hardcore market with the WiiU with almost zero success, therefore I doubt either are really worried about Nintendo right now. That's just my opinion, I don't work for Forbes or anything, I have no credibility.

Nintendo. Thats who they both fear. If nintendo can find a solid path into there third party games they know there doomed. However this is highly unlikely. The best nintendo can hope is to get a few aaa third party games a year sprinkled in with their first party stuff and that will be huge success because with the wii they got none. Plus this is as it should be because its good for everyone to have balanced competition. I just hope sony doesnt ruin itself by throwing out some mega system no one can afford and no developer can afford to make games for. 

Neither.

Nintendo is too focused on the kids/family market and makes often ends up shooting themselves in the foot with little third party support for MS to care too much about them. Sony can't measure up financially to MS.

They did need to "answer" the concept of casual/get-off-the-couch gaming of the Wii, but they've done that now with Kinect.

Really actually though I think MS is more looking at Apple/Google with respect to the XBox 720. Nintendo/Sony are small potatoes, MS needs to get control of the living room before Apple/Google make a move.

Sony, because while Nintendo is beating down Sony in the handheld market. Both Nintendo and MS do not want PS2 dominance from Sony. Also it has been shown that Sony's consoles sell at least 72m, while both MS and Nintendo have had consoles with less success. Both Nintendo and MS would like to see a Sony console not sell 72m.