Unbitter wrote:

Nintendo generated 13 BILLION dollars in revenue last year. I don't think the mobile gaming market broke 5 billion, and I'm probably overestimating. The loss last year was more due to dropping the 3DS price than anything else, and it led to a domination of the handheld gaming market that will likely eat yet another Sony handheld. Yes, mobile phone gaming MIGHT take a chunk out, eventually, but it will not be a dominate force given that the bulk of those games are free (no revenue generated).

Sure, the market will be there, but Nintendo will still maintain a significant share of the market, and likely weather the "mobile storm."

Also the fact that the mobile phone gaming market requires a long term investment (monthly rates),

has to deal with data caps, small size, poor controls and even worse quality control

means that people might "try" a 2 dollar game once, but never again, meaning any IP generated will be wasted (despite Rovio's attempts to become "the next Disney"). With Nintendo they have a viable brand, and are much more likely to invest in a $40 game and will play it for more than 10 minutes, and if a sequel comes out, are more likely to purchase it if they enjoyed the previous games. Even if those games are still "shitty" at least when a copy is sold, the company is likely to make some money on it.

The Wii U will have it's market as a "cheap" alternative to the PS3 and XBox,

Will it be as big as the original Wii? Hard to say. but then, did anyone predict the original Wii WOULD be as big as it was when it was released?

Using data from NPD as well as Flurry's own usage analysis on 125,000 mobile apps, the company reports that iOS and Android will make up 58 percent of all U.S. portable game revenue in 2011, compared to just 34 percent in 2010 and 19 percent in 2009.

Nintendo's DS line makes up an estimated 36 percent of all U.S. portable software revenues in 2011, down from 70 percent in 2009, while the Sony's PSP accounts for 6 percent of revenues, down from 11 percent two years ago.

The total size of the portable and mobile game software market has also increased in that time, from $2.7 billion in 2009 to an estimated $3.3 billion this year, Flurry says.