At the Game Developers Conference in San Francisco this week, Microsoft wasn't the only company talking up its next-generation gaming platform. Nintendo used the event to announce its upcoming console, dubbed "Revolution," which will feature wireless networking capabilities for connecting gamers.

Nintendo President Satoru Iwata outlined Revolution in his keynote address. The system will sport a processor designed by IBM known as "Broadway," and a graphics chipset developed by ATI called "Hollywood." But the focus will be on wireless, and creating games for global play to compete with Microsoft's Xbox Live service.

"This is Nintendo's plan: make our existing game world better," Iwata said in his speech. "For us, this is a passion. This is a mission of adventure."

The company also plans to bring WiFi to its portable Nintendo DS handheld before the end of the year.

To avoid rending current games obsolete, Revolution will be backwards compatible with Nintendo's GameCube, an unusual move for the Japanese company. Unlike Sony, Nintendo has used proprietary media formats in its new consoles, which left older games by the wayside.

Nintendo will provide a full preview of Revolution at this year's E3 Electronic Entertainment Expo in May. Sony and Microsoft are also expected to showcase their gaming wares as the battle for the hot new console heats up.