The Wii U got out quite a bit ahead of Sony and Microsoft's next-generation efforts. It got out so far ahead, in fact, that its technical capabilities (which are roughly comparable to those of an Xbox 360 or PlayStation 3) have led some to worry it's a new console already stuck in the past.
"In the end, our competitors need to react to what we're doing in the marketplace and need to figure out what their innovation will be," Fils-Aime said. "It's likely that faster processors and pretty pictures won't be enough to motivate consumers. They need to react to what we've done and we need to continue innovating with the Wii U and we will."
He said the Wii U will only grow as a "living, breathing product" as its competitors reveal what will likely be more technically advanced products, according to alleged leaks for the Xbox One and PlayStation 4.
"For us, launching new systems is about bringing new consumer experiences to the marketplace and we're doing that with Nintendo Land and third-party publishers are doing it with games like ZombiU. For us, now is the right time to launch new hardware."
