We are witnessing the first 3-way console war in the US.
Among first generation systems, Atari Pong and Magnavox Odyssey captured the public's attention. Hardly anybody ever heard about (or still knows about) the Fairchild Channel F or the RCA Studio II.
Among second generation systems, Atari 2600 and Mattel Intellivision captured the public's attention. Hardly anybody ever heard about (or still knows about) the Magnavox Odyssey 2, or the Emerson Arcadia 2001.
Third generation systems plain didn't sell. No one gave a whit about the ColecoVision , the Atari 5200, the Milton-Bradly Vectrex, nor the Atari 7800. Soon afterwards, the videogame industry crashed bigtime.
Among fourth generation systems, Nintendo NES and Sega Master System captured the public's attention. In the portable market, the Nintendo Gameboy basically gobbled up the entire market, while hardly anybody even heard of the Atari Lynx.
Among fifth generation systems, Nintendo SNES and Sega Genesis captured the public's attention. Hardly anybody ever heard about (or still knows about) the NEC TurboGraphx-16, or the SNK Neo-Geo, the Philips CD-I, the Panasonic 3D0, nor the Atari Jaguar. The Sega Game Gear made modest inroads into the handheld market still dominated by the Nintendo Game Boy. The NEC Turbo Express barely made its presence known in the handheld market. The Sega CD and the Sega 32X add-ons for the Sega Genesis became moderately successful, only because they were riding on the coattails of the hugely successful Sega Genesis installed base.
Among sixth generation systems, the Sony Playstation and the Nintendo 64 captured the public's attention. Hardly anybody ever heard about (or still knows about) the Sega Saturn, and Nintendo's short-lived virtual reality product the Virtual Boy failed even more miserably. However, their immensely successful Color update to the Game Boy franchise saved their reputation, and continued to earn them lots and lots of money.
The seventh generation has been something of an anomaly. The Sega Dreamcast entered the public consciousness in a big way, though it failed financially. The PS2, the X-Box, and the Nintendo Gamecube are all well-known names. This is the first time that so many competitors are making such a big push to become household names. If history is any indication, two systems will capture the public's attention, and any others will fail. But this remains to be seen.
The handheld market, as always, belongs to Nintendo with their recent Game Boy Advance, without a single competitor in sight. That market is unlikely to change anytime soon.