UH-OH, if i was nintendo I'd sort this out ASAP so they can have enough on the shelves for XMAS...

If Nintendo can't get this fixed soon, it looks like the hopes of Nintendo Wii supporters will be crushed by the news and inability to pick up a Wii. Even if it is the most popular gift request for Xmas, if they don't have them in the stores and on the shelves, it will only hurt them. Some may end up getting fed up and possibly getting those who want one a PS3 or 360 instead since they will be the only systems that can be picked up from the stores. This would be bad for Nintendo, and great for Sony and Microsoft.

Uh, you people know that it probably isn't even under nintendo's control, but rather their supplier's control, i.e. their suppliers have to make more of whatever. Besides, nintendo has said repeatedly that supplies will be constrained this christmas.

I'm sure the Wii will have supply issues at Christmas, but I'm also sure they will sell bucket loads (No2 selling console behind the DS).

 Let's reverse that scenario real quick.  Do you assume that Sony and MS gamers would instead buy a Wii provided they couldn't find a PS3 or X360 this Xmas?

Wii sold out last Xmas but I highly doubt it played any role in boosting sales fo the X360 and PS3. 

If someone was positive that they wanted a new console and something next generation they may. The parents may decide to get them a different console just so they have something instead of a picture of a Wii in a box saying that once they can find one they'll buy it. If I were a kid and had my heart set on something and ended up having to wait longer to get it, it would ruin the holiday. I'd rather get something else that is similar and that I may enjoy just as much and be happy about it.

I don't know about that... the consoles are pretty good economic substitutes for each other because most people stick with the console that they started out with and don't get another one.  People like cklmb that have all 3 are a rare breed. 

While a fair # of people that won't be able to find a wii will move up to purchase a PS3 or 360, some of them will either wait on getting one or just get a DS or PSP.

Now, i'm not going to speculate on the % of the population would fit into either category, but either way, some people that would have bought a wii will purchase a PS3 or 360 this christmas.  So, yes, the PS3, wii, and 360 will all have a good christmas, but the proportional increase in sales will be a bit higher with the PS3 and 360.  So, while I agree somewhat that this won't mean a blowout christmas for the PS3/360, i do think that it will help. 

 I meant, that the independent licensed factories make more than one product (which they usually do).  They may make a chip for a cell-phone or a transmitter for a high-end remote control.  If they make 10k wii chips and 10k  chips for other product all year long, I would think that they could shift to the most important client or shift to the toy component before the holidays, and then shift back into normal production.  Also with the success of the Wii, I am sure that they would be avoiding some new contracts, so that they can make chip for the more profitable (long term) component.

According to NOA, this will not affect their shipment projections for the fiscal year.

http://www.next-gen.biz/index.php?option=com_content&task=view&id=6863&Itemid=2

Simply incorrect. Contracts have to be drawn up many months ahead of time to ensure that there is sufficient time to retool lines. Retooling is an expensive and time consuming process, and contracts cannot be easily changed. If a company asks for a certain quantity, you can't back out and say 'uhhh yeah, we made less than you asked for so we could make more of someone elses thing.' Its a business of brutal efficiency, and it takes time to shift resources. Seasonal shifts in production just cost too much in terms of time and money.