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There is a second page to that article which has two contradicting points: stop making hardware and make better hardware.

Between those two options, I would choose to make better hardware. I don't want the console wars to turn into a two-horse race, and no other players are big enough to go head-to-head with Microsoft and Sony.

I might end up buying a Wii U to replace an aging Wii just so the family can keep playing all the Nintendo games we own. But I really hope something better is coming down the road soon.