The 3DS was in a similar position last year, have you not learned yet? You don't judge a console on its first year when it's struggling.

no it wasn't it, it started off slow, unlike the wiiu which is dead in the water, factor in that nintendo has been dominating the handheld forever, meaning they are the biggest brand in the handheld market. you also forget thirdparty's are not backing nintendo, and of course you can judge a console in its first year of sales.

Nintendo has always made their consoles specifically for gaming. All the other TV stuff would never work on the WiiU and I don't even think that's the direction Nintendo wants to take. If Nintendo was serious about making their console a device that can do a vareity of tasks other than gaming then we would have seen them marketing the WiiU like that. 

Who is Microsoft targeting?  Well, I don't know how to say this nicely... but tools.  The kind of people who play COD each year not because they actually like games but because all of their friends play it.  The kind of people who line up for the iPhone 5 because they think it will make them cool, and the kind of people who buy a Samsung Galaxy 4 while making fun of the iPhone 5 people and not realizing that they're doing the exact same thing.  The kind of person who plays fantasy football and doesn't know the difference between a safety and a cornerback.  The kind of person who buys an iPad mini after they just bought an iPad 4 because last year Apple said people wanted a big screen, and this year Apple says small screens are better.  The kind of person who buys beats headphones to listen to their pop music despite the fact that beats pretty much only provide only bass. The kind of person who goes to a Giants superbowl parade and says that their favorite player is Sanchez.  The kind of person who never had an interest in any sort of zombie movie but watches the walking dead.  The kind of person who never read a comic book but lines up at midnight for Dark Knight rises.  The kind of person who cares what is trending on twitter.  The kind of person who buys a tablet when they have no logical need for one.  The kind of person who buys things not for utility but for status.  The kind of person who put Gangnam style on their iPod like it was anything more than a novelty.  The kind of person will be convinced by Microsoft that they need to multitask on their TV because that will make them tech savvy and hip. Tools.  They're targeting tools.

/Hipster rant

I think it is pretty clear that Microsoft's main competition is Google and Apple.  Some of the feautres of the XBone and Wii U are similar, but this is not because Microsoft is "targetting" them.  This is simply because we expect multifunctionality from a device these days.  It's more of the Wii U and XBone travelling, to some extent, in the same direction.  I think Sony will also have a lot of these features.  Remember, Nintendo debuted the Wii U at E3 2011, and they showed off TVii at September 2012.  Sony may very well have a similar feature.

If Microsoft was really targeting Nintendo, they would need to show off the experiences that made the Wii successful.  You can't take on Nintendo without having something to combat Mario, Wii Fit, Mario Kart, Smash, Pokemon, etc.  If they were targeting Nintendo, they wouldn't focus the small games portion of their presentation on EA Sports stuff and COD.  That's not how you speak to the Wii audience. 

Who is Microsoft targeting?  Well, I don't know how to say this nicely... but tools.  The kind of people who play COD each year not because they actually like games but because all of their friends play it.  The kind of people who line up for the iPhone 5 because they think it will make them cool, and the kind of people who buy a Samsung Galaxy 4 while making fun of the iPhone 5 people and not realizing that they're doing the exact same thing.  The kind of person who plays fantasy football and doesn't know the difference between a safety and a cornerback.  The kind of person who buys an iPad mini after they just bought an iPad 4 because last year Apple said people wanted a big screen, and this year Apple says small screens are better.  The kind of person who buys beats headphones to listen to their pop music despite the fact that beats pretty much only provide only bass. The kind of person who goes to a Giants superbowl parade and says that their favorite player is Sanchez.  The kind of person who never had an interest in any sort of zombie movie but watches the walking dead.  The kind of person who never read a comic book but lines up at midnight for Dark Knight rises.  The kind of person who cares what is trending on twitter.  The kind of person who buys a tablet when they have no logical need for one.  The kind of person who buys things not for utility but for status.  The kind of person who put Gangnam style on their iPod like it was anything more than a novelty.  The kind of person will be convinced by Microsoft that they need to multitask on their TV because that will make them tech savvy and hip. Tools.  They're targeting tools.

/Hipster rant