Except because the Wii does that, it ceases to be a competitive environment for more traditional games.
There are a few factors that may say otherwise. Install base alone can make a platform a competitive environment. If it's the only platform you've got, then it doesn't matter if the version on the other platform has much better graphics. You're just happy to have Splinter Cell on your PS2 or Rayman 2 on your N64, period. Second, of course, there's the controller. This could work out to make the experience a bit more competitive. And third, seening how quickly preorders sell out, this thing could have such a rapidly expanding install base that developers can't afford to ignore it. It may very well attract more exclusives just like PS2 did this gen. And those exclusives can indeed be system-sellers despite having worse graphics than games on competing platforms.
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