We’ve seen the writing on the wall and it seems to indicate that Nintendo is working on some USB devices for the Wii, but Laurent Fischer of Nintendo Europe quashed that idea while another option now seems open. According to GamesIndustry.biz, he says that the company is “working on a solution” to the Wii storage problem, but he also says “definitely there’s no plan to issue hardware,” like a hard drive.

So the thinking now is that Nintendo is working on a firmware update that would allow downloaded games to be played directly from SD cards, but no one knows for sure. We may get more details as E3 approaches.

[Joystiq]