This guy may say he loves Nintendo but I really don't think he's a gamer. He seems to be looking at it from the smartphone market point of view. The author compares Nintendo to Nokia and Blackberry; phone companies that barely even touch console or mobile gaming. Nokia and Blackberry lost a lot of market share but to say that Nintendo has fallen off as hard as they have is false. Relative to their markets of course.
Why can't console gaming still be a market and co-exist with touch screen games? Is there really only room for one? Just because the PC exists doesn't mean consoles will go to shit or that no one buys PC games.
Nintendo does pretty well in it's home country Japan, and I bet in other parts of the world also.
The author also neglects to talk about the differences in gaming markets. He seems to think all games and hardware are the same.
Handheld games are a market in itself and Nintendo is at the top of it. Just because people own more smart phones doesn't mean they'll buy a Nintendo game on it.
What does he care. It's not like he's going to buy "Super Super Mario World TOUCH for iOS" for $30. It doesn't sound like he's a gamer at all and it's sort of offensive when someone who thinks the latest tech will take over doesn't consider the facts or any other factors.
Think about, why would you give in to your "competition" and make games for their "console".