SEGA might have dialed things down a bit, but Johnny had decided to take a stab at this blast from the past. Armed with only a green screen, he gives us Xbox Live playing, bleeding-edge graphic folk a taste of that old 16-bit flavor.

Two-day event includes exclusive reveals, trailers and playable games on show floor.

The rejection is non-final (and even when such rejections are labeled as “final”, the process is far from over, given that there can be, at minimum, an appeal to the Federal Circuit).
Good, as they should! A game mechanic like that shouldn't be locked behind a patent, and Nintendo didn't invent it either.
Nintendo wants to keep wasting money on bullshit lawsuits, real smart in this economy. They should put that money aside for other game projects. On the other hand, I don't care if they waste it all either, and they are screwed in the future maybe that will teach them a lesson.

CEO Haruki Satomi said Sega will "take these lessons into account for future initiatives"