The REAL problem (or at least one problem that has not been mentioned yet) is the complete and utter lack of any NEW 1st party franchises. It seems to me that Nintendo is stuck in the past with an inability to create any new franchises. Take MS for example, they've introduced several new franchises this gen like Halo, Crimson Skies, Mechassault, Knights, Fable, etc. Capcom has made DMC, Onimusha, Viewtiful Joe, etc. What has Nintendo INTRODUCED this gen???
Don't get me wrong, I love Zelda and all, but there is nothing beneficial in putting all your eggs in one basket. For arguements sake lets call this basket...oh, I don't know....Miyamoto. Yes, this basket has always been good for Ninty, but this basket hasn't created any new franchises (Pikmin doesn't count as thier is no main charecter with which to identify with) and because of that they have failed in bringing in new fans.