I don't know about this analyst's prediction, but it is pretty remarkable what the Wii has done in just half a year on the market. No one was expecting this. Analysts were predicting the opposite. Hardcore gamers were giggling at Nintendo and their silly little underpowered console with the silly name. Even die-hard Nintendo fans were optimistic, but reserved in their predictions. Such a huge turnaround in the home console market seemed not just improbable, but impossible.
That alone is enough to debunk some of the arguments in this thread.
1) Undershipping: If GAF had been in charge of shipping, we would have planned for half as many and doubted whether they would all sell. The idea that Nintendo is holding back is revisionist history, as even the most optimistic prognosticator would have doubted a 6-million sell-through this time a year ago.
2) Price is the difference: Only a fool would argue price doesn't matter. Clearly, the pricing of the 360 and PS3 haves had a big impact on the market. But a few weeks ago my dad, who used to play RBI baseball and nothing else on my NES and hasn't asked about or cared about gaming since, said out of the blue that he wants a Wii. Then, this weekend, he said it again. He didn't say he wants a video game system, and the Wii is cheapest, so he'll settle for that. No, he said he wants a Wii (He owns an HDTV, by the way). That's anecdotal evidence, I realize, but sales figures are as hard as evidence gets, and sales figures and anecdotal evidence combined say that people want the Wii, and if the XBox 360 sold for $99, people would still want a Wii. Again, a year ago, no one thought the price would matter. Everyone thought the 360 and PS3 would outsell the Wii handily regardless of price differential. Anecdotes are anecdotes, but they pile up.
Meh, I'm not saying anything that someone else hasn't already said, but I find it interesting to reflect. I've got one more point to make, and I've posted this before, but I think it's illustrative. This --
http://www.spokane7.com/games/stories/?ID=5667 -- is what is selling the Wii.