Nintendo Wii

Nintendo has grasped two important notions that have eluded its competitors. The first is, Don't listen to your customers. The hard-core gaming community is extremely vocal–they blog a lot–but if Nintendo kept listening to them, hard-core gamers would be the only audience it ever had. "[Wii] was unimaginable for them," Iwata says. "And because it was unimaginable, they could not say that they wanted it. If you are simply listening to requests from the customer, you can satisfy their needs, but you can never surprise them. Sony and Microsoft make daily-necessity kinds of things. They have to listen to the needs of the customers and try to comply with their requests. That kind of approach has been deeply ingrained in their minds.

And here's the second notion: Cutting-edge design has become more important than cutting-edge technology. There is a persistent belief among engineers that consumers want more power and more features. That is incorrect. Look at Apple's iPod, a device that didn't and doesn't do much more than the competition. It won because it's easier, and sexier, to use. In many ways, Nintendo is the Apple of the gaming world, and it's betting its future on the same wisdom. The race is not to him who hulas fastest, it's to him who looks hottest doing it.

Got this from this TIME article.