What he said is directly against what I believe in gaming, lol. But that doesn't mean he's not entitled to his opinion, after all, there are many theories as to how to approach gaming, I'm sure, and Miyamoto's is just one of them.
But Nintendo's games have necessarily had a symbiotic relationship to their input hardware in order to create new experiences. Just as much as Nintendo and others innovate WITHIN the status quo, as Ian attests, so too do some huge Nintendo and non-Nintendo success stories emerge from breaking the status quo: Mario 64's analog stick, DDR's dance pad, Guitar Hero's... guitar...
And Nintendo, as a company: this is who they are. One can argue that innovation can happen inside the status quo, but Nintendo believes that it can happen both inside AND outside, and that the Nintendo legacy is not only one of software, but of HARDWARE as well.
Simply put, GTA 3 was an excellent game, but Nintendo, because of who they are, wants to do more than make the next GTA 3.
~Carmine M. Red
-Unable to make up his mind whether Nintendo is singular or plural