Nintendo of America president Reggie Fils-Aime said recently, "We have no desire to get into telphony. We believe that we will earn our way into someone's pocket without having to offer that (phone capability) as an additional factor." He also added, "We don't want to be in the phone business. We don't see that as an opportunity. Phones are utilites. Phones are not by definition entertainment devices."
Entering the phone business would also mean that Nintendo would have to compete against their rival video game companies (Sony and Microsoft) AND all of the phone and cell phone companies.
In my opinion, Nintendo is right. They should stick with video games, and not go to phones. To me, making and selling phones is something that Nintendo should never do.