I agree with him on one thing: This is a great chance for Nintendo. Otherwise...get ready, folks, here I go...
Random things:-Wii vs. PS2? No. The whole point is to market Wii as it's own thing. Nintendo is aiming for total Wii domination, it doesn't need a "rival", besides there are too many to choose from.
-Xbox the third viable console? You know what, I just realized that we consider Xbox the machine that proved that three consoles can exist...but it doesn't prove that at all! Why? Because it cost Microsoft
4 BILLION DOLLARS*. Microsoft bought it's way into "viability", few other companies could afford to do that, so it's technically not really viable.
-Gypped by Xbox 360? He writes, "Until then, I'll just...[feel] gypped after overpaying for software titles that don't offer a whole lot more than their sixth-generation versions." Wait a minute, isn't this what Nintendo is combatting? Of course your 7th gen games don't offer "more", because more equals more budget. This is where Nintendo's plan is genius: instead of relying on super over-development of existing game types (I expected at least 10 arenas in Mario Kart: Double Dash and I'm sure many of you did too) Nintendo will refresh them with a new type of control. Mario Kart will be worth experiencing on Wii even if it doesn't offer "more" of everything.
Nintendo's last chance:Nintendo has said that if this system isn't more popular than GameCube it will be a failure, but Nintendo never said it would leave the console space, and I believe Perrin Kaplan has said quite firmly that Nintendo will have another home console. Nintendo has over 8 billion dollars in the bank, which, as I pointed out earlier, is twice as much as Xbox cost Microsoft. So Nintendo could afford to accept two Xbox-sized failures before it would be out of cash, and let's be honest, GameCube still made a profit in spite of it's "failure" status, so Wii is not going to be a Xbox-sized failure. Top it off with DS, the only highly successful next-gen system so far, and Nintendo is actually in a much better position than Sony or Microsoft!
Don't believe me? Sony's hardware business has been in decline for years. Competing products like Apple's iPod are tearing into Sony's traditional markets and the company has switched Presidents and laid off tons of employees. One could argue that PS3/Blu-ray is Sony's "last chance" in the hardware business. The irony is that in trying to use PS3 as a trojan horse for Blu-ray, Sony may have shot its popular console brand in the heart with a bullet made of high prices. PS2 will keep Sony afloat for a while, but if PS3 isn't a hit in 2-3 years, it will probably never be a hit. Then what does Sony do?
Microsoft is not in any danger of going out of business, but like I said before, Xbox lost the company $4 billion. There were already execs in the company against Xbox before it was even released, can you imagine what those people are saying now? Investors can't be too happy with those ridiculous losses either. If Xbox 360 wastes another $4 billion dollars without achieving any kind of dominance in the market, will Microsoft subsidize a third console?
Thanks to DS Nintendo is sitting pretty right now, I think Sony and Microsoft are more likely to exit the home console race than Nintendo is.
*
Joystiq: Forbes says Xbox lost $4 billion