Everyone seems to be up in arms about Reggie Fils-Aime’s comments regarding the lack of HD streaming for the Nintendo Wii. His comments seem pretty rational to me, at least in the short term.

Here’s what he said: “the vast majority of content for streaming on Netflix is not HD content, so there really is no loss for the Wii consumer with the fact they can’t get any HD content through our system.” True. There is a dearth of HD content that can be streamed from Netflix, so pushing through a Wii HD just for that capability is ridiculous.

The real problem is that there will be more HD content on Netflix, and it will be ever-increasing, so the further along we get, the more demand there will be. That could quickly translate to less demand for the Wii, especially when the other consoles release motion-control systems. Then what’s to keep people with the Wii? The Vitality Sensor? I think not.

Source: CNBC