Doesn't the XL routinely outsell the standard model like everywhere? I like choices and I certainly advocate the release of the standard New 3DS here, but I get the reasoning here. When people upgrade, they typically move up, not across whenever possible. The last thing Nintendo of America wants is to be stuck with a bunch of standard 3DS and standard New 3DS. Maybe it will try to clear inventory of the standard 3DS, drop it entirely, then introduce the standard New 3DS in modest quantities. A Q4 launch at $150 could do some damage this holiday season.
New 3DS is primarily meant for Japan. It's the Monster Hunter/Amiibo 3DS that doesn't need peripherals like the Circle Pad Pro or NFC reader/adapter. Given the performance of DSi in the West, Nintendo of America's approach is hardly surprisingly. It likely expects most sales to be upgrades from either model (which would explain why there's no AC adapter when it insisted on including one with the original 3DS XL despite the AC adapter being sold separately in Japan), and many of those who wanted the standard New 3DS may just deal with it and get an XL. That's admittedly kind of shitty, but I can't imagine this applies to too, too many people. Weighing the options, it went with the one that's best for business like it should. Additionally, I believe Reggie revealed that retailers are not too fond of all the different SKUs. They may not want to carry five different 3DS models.