Reading the Tea Leaves at Nintendo

When Nintendo’s top brass gathered in Tokyo to speak to analysts Friday, they admitted they had been caught off-guard by the slowdown in Wii demand.

To the dismay of analysts and fans, they did not announce a new Wii console, as some had hoped, or a revolutionary new game.

But they dropped a few hints about where they might be heading.

Nintendo’s legendary game designer, Shigeru Miyamoto, who helped to create Super Mario Bros., Zelda and a host of other hit games, said a new Zelda game for the Wii will take advantage of the console’s Wii Motion Plus controllers to allow for better swordplay. It is being targeted for a 2010 release.

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