I appreciate the detailed argument, but this is sort of written as though the author isn't sure what makes console games special. There's a reason the OUYA took kickstarter by storm and then totally fell off once people got their hands on it: Smartphone games are fun, but they don't offer anywhere near the experience that proper console games offer. Yes, Infinity Blade looks amazing, but it also features what is essentially a 2- or 3-button control scheme. There has yet to be a smartphone game that offers anywhere near the depth of something like a full console shooter, not to mention titles like The Last of Us, Dead Rising, etc. Apple is creating a new market, not threatening the Xbox or PlayStation.