And so nintendo goes after the difference in console size, knowing that the real thing that counts -- software -- has nothing in their favor yet again.
Each year the console wars get more and more depressing as the companies take shots at each others' hardware without acknowledging that hardware means nothing. In all respects, the XBox absolutely demolished the PS2 in terms of hardware capabilities. But the PS2 still won that generation of the console wars because of its vastly superior selection of software. I own both a PS2 and a Gamecube, and have equal opportunity and inclination to purchase games for both -- and my PS2 library is many times the size of my GC library.
And thus it will be for the next generation. Hardware does not matter, specs don't matter; what matters is the games that will be available for each system. The X360 has had one year to try and impress me, and it has failed to do so; only promises of Gears of War (which Epic will release on PC anyway, where it will be graphically superior, more extendable, and smoother). The Wii has potential, but there will be many games made that use the controller as a stupid gimmick rather than a gameplay innovator. Even Metroid Prime 3, my prime selling point for the Wii, exhibits this; while using the controller to aim like a mouse is a good innovation, having to flick it and do all this crazy crap to open a door (which would just as easily be a button press) is equally as gimmicky.
The PS3 has a very solid lineup announced, and rest assured when the price drops it will be in my hands -- I have never bought a console upon launch for original retail price.