steviep said:All the emulators on the 'net use HLE. Microsoft is also using high level emulation (the xbox360 is not anywhere close to powerful enough to use LLE for the xbox). Nintendo will be using low level emulation for their old consoles, and Sega/Hudson will be doing the same. There is a HUGE difference between high and low level, look it up if it's necessary. They mentioned Apple's "Itunes" idea when talking about the virtual console, too... however I'm sure they are paying very close attention to Microsoft's pricing scheme on their Arcade ($6 per game?)
I'd like to add that Nintendo have already done a good job with N64 emulation, seen in the Zelda titles on the bonus disks. It also ran Mario Kart 64 quite well if you knew what you were doing.