Nintendo Slashes Profit Outlook - WSJ.com

Perhaps a leading indicator of a cataclysmic console category crunch

"Nintendo Co. slashed its fiscal-year profit outlook by 70% just weeks before launching the company's first new home console in six years, underscoring how badly it needs the coming Wii U to succeed and revive its fortunes.
The Wii U, an overhaul of Nintendo's popular but aging Wii game machine, will test whether traditional videogame consoles can still prosper amid a technological shift that is providing consumers with vast options for games ranging from online personal-computer titles to free-to-play social games on smartphones."

Nintendo Slashes Profit Outlook - WSJ.com