I agree that the lack of software is first and foremost the reason why hardware isn't moving. But I do think that the side effect of Iwata's 3DS Hail Mary is that now people are more likely to hold back if they smell blood in the water. You see people much less likely to go in early on Nintendo hardware if it looks like they're struggling, because Nintendo has set a precedent of reactionary price drops.
It's why I haven't gotten one yet.
This can't be understated at all, agree fully. Being a launch 3DS owner was akin to being a sucker. Never letting Nintendo pull some shit like that over on me again. And no a bunch of old fucking games was no fucking consolation to me whatsoever. Ambassdor program smmh. That console collected so much dust till Ocarina of Time 3d came out, never again.