We decided it was necessary to take this drastic step in order to ensure that large numbers of users will continue to enjoy the 3DS in the future. If the software creators and those on the retail side are not confident that the Nintendo 3DS is a worthy successor to the DS and will achieve a similarly broad (user) base, it will be impossible for the 3DS to gain popularity, acquire a wide range of software, and eventually create the product cycle necessary for everyone to be satisfied with the system.
What surprises me the most in this article is that Nintendo's CEO cut his salary. Plus they are giving games away to early adopters I don't remember any other company doing something like this before.
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