During his talk at the BMO 2012 Digital Media Conference, Nintendo executive vice president of sales and marketing Scott Moffitt admitted that there is an "undeniable the growth of tablets and their ability to play games."
Tablet and mobile gaming is seen by most as the primary threat to Nintendo’s success in the handheld market, but Moffitt doesn’t agree. In fact, the Nintendo vice president believes that tablets and smartphones are "allies" to the company as they give users easy access to Nintendo websites and services.
"At the same time when we look at our data," he said. "The DS didn't have competition from tablets and smartphones, and yet we are outpacing the rate of sale for the DS. These are seemingly conflicting data points. Obviously we see a rise in new competitive products, but we are seeing better results in a tougher environment."