Dude, shovelware doesn't sell systems. 3DS is prove of that. The great software on DS sold the DS. All those RPGs, big ips like Mario and Zelda.
You can't purchase epic games like Dragon Quest 9 on iOS for a dollar. The market for 'shovelware' isn't as big as you think.
By your logic, the PS3 is losing consumers do to Apple too? They launched the PS3/iPhone at around the same time and the PS3 was a steep decline (more so than 3DS sales) compared to the PS2, which also had a ton of shovelware. So by your logic, all those people bought a $200/300 (at the time they were 500/600) dollar iphone (with a 2 year contract that they must pay 60+ a month) to play a 99 cent game?
Makes sense to you?
Totally agree. As an iPod Touch owner, the first and foremost function of the thing is a music player and video player. I do have a lot of apps, around 4 pages worth, but none of them were the reason I bought the Touch. Most of them I picked up during deep discount and free sales or are SEGA titles. iOS does have some big epic games (the Zenonia series, GTA Chinatown Wars, LEGO Harry Potter, a lot of Square rpgs) but for the most part, the "best games" on iPhone are usually considered to be the 99 cent time wasters (albeit very fun time wasters):
http://www.wfmj.com/story/15159111/best-iphone-gamesI think the real selling point of iPhones and iPod Touches is that fact that it's a phone, camera, video camera, email and web browser all in one. The games are the cherry on top, but are not the sole reason to buy the device. I'd think it's the non-game apps (and the features listed above) that really sell the device.
I do agree with shadi, though, about Wii U looking to be another 3DS. Unless Nintendo does a damn fine job of marketing it as a NEW HD system and not another Wii. Seriously, I really dont' think a lot of people will be amazed by the control system. I've seen iPads used in conjunction with TVs and desktop computers and it was cool, but not mind blowing. I really could care less if, for example, playing a golf game I set the Wii U screen on the floor and see the golf ball. It's an unnecessary gimmick. I'd rather use a controller or a Kinect (or even a Move) rather than having to set a Wii U on the floor (don't step on it!) and using a wiimote.
I really think Nintendo should drop the "Wii" and just call it the "Nintendo U".