Of course it is. The iPhone is direct competition for the 3DS. If you have an iPhone (or even an iPod Touch), why would you need a 3DS?
For the simple reason that no one buys an iPhone just for the games. Yeah, you
can play games on them, and there are a handful of good ones. But for the moment, the quality of games isn't up there with a 3DS. It has the potential to be a direct competitor, and it certainly has the hardware to do so, but right now, it's not.
Angry Birds isn't Pokemon. And Oceanhorn, as fun as it was, isn't Zelda.
Also, the rumored Apple TV update, if it materializes, would be direct competition for the Wii. If an updated Apple TV plays all the games that are currently available for the iPhone and iPad, Nintendo is screwed.
A $99 console capable of playing Apple's vast selection of touch based mobile games on a large TV? No. It's mere release won't be a direct threat to Nintendo, and certainly won't even put a dent into the PS4 and Xbox One. Why? Games. The lack of games, by the way, is the reason why the considerably more powerful WiiU is failing so badly at the moment. Unless Apple has a ton of awesome titles lined up for the new AppleTV, it won't do a thing for anyone.
If all it took was a cheap $99 device you can hook up to your TV to beat the big consoles, the Ouya would've already been blazing trails through the scene.
Are you kidding? The 3DS looks like a Leapster compared to current iPhone models. My nephew got one for Christmas and I couldn't believe how primitive it was
Yeah, and if all it took was an awesome spec sheet to sell, then the old DS would've failed miserably under the onslaught of the far superior PSP back in the day. But like I've already said, when it comes to game systems, it's about the games first and foremost. Specs can only take you so far.
Though I should once again add that iOS becoming a direct competitor to Nintendo, Sony, and MS could very easily happen. The iPhone and iPad far outstrip a 3DS in pure power, and at least match the PS Vita. If Apple were to get solidly behind it, push for a good controller, and get publishers to make console quality games for the iPhone/iPad rather than IAP heavy cash-ins that only serve to draw attention to their bigger titles, it could very easily take on the 3DS. Maybe even the consoles, if you take an iPad/AppleTV combo into account.
But right now, it's not there. Indie and AAA publishers make more money off their games on PCs, consoles, and handhelds than they do the mobile platforms, and the touchscreen only controls only work for a select few genre of games. Right now, tablets and smartphones just aren't direct competitors.
Perhaps, but not quite as well as they had hoped:
"The company...cut its estimates for the 3DS from 18 million to 13.5 million units."
Yeah, but it's not doing so terribly, Nintendo will have to shutter their business and move on to greener fields. Not yet.