[citation][nom]kbarber29[/nom]I've tried wirelessly audio video technology in the past at my work site. The degrade in video quality is why the screen on the controller stays small (and rightfully works), but I think the main problem is loss of signal to the controller of video and audio and possibly lots of static at even the slightest of moves of either the controller or people just walking by. If it is using say 2.4 ghz technology, they may be coming across a lot of interference and may have to increase it to a frequency no is using. It was rather cool technology when we tried it at my work site, but unreliable, especially when the video degrade made it hard to read text on the screen, that may be the final problem they are experiencing.[/citation]
Welcome to the digital age. the tablet is it's own computing device, it is not just a display. You easily get around most of the problems you mention by switching from compressed analog to a less compressed digital signal. Then you pump the video through as a file instead of as a real time broadcast.
Next year we will begin to see many new wireless video devices as Atom processors add another die shrink supposedly making them viable in the tablet market (Intel's word, not mine lol) which will have wireless display capability. As well as integration of this technology in laptops. The idea of the Wii having some implementation of this is not that far fetched.
My bet is that the real problem lies in the balance of cheap hardware doing relatively monumental tasks, and finding the balance between usefulness/customer experience, with getting every last speck of unnecessary plastic and metal out of the system to keep costs down.
Either way we are all tired of the same 3-4 first party games being re-hashed, and with no solid 3rd party games. Until they get that fixed I think many will stick with the good ol wii/xbox/PS