>I kinda like it when they are not in the top spot. >Gives more reason to research and create better products.
I think that is a valid point and while Canon will certainly introduce some new bodies to compete with Nikon's latest offerings, I think they had been fairly comfortable with their top dog status and many Canonites (while happy with their gear) often lamented at the limited feature-set and minor upgrades Canon had or made to their bodies (especially FF bodies) because they basically had no competition in this area (eg. 5D). Even die-hard Canon fanboys have to admit (although begrudgingly) that Nikon's D300, D3 & D700 are cameras they would love Canon to make.
Where Nikon have really changed the paradigm with the D700 is releasing a camera that actually competes with their own FF offering (D3). Most people (be they Nikon or Canon camps) thought there was no way Nikon would release such a camera so soon which has real potenial to canibalize sales of their top line pro body. But what Nikon has done is a stroke of genius IMO. Sure they may not sell as many D3's, but they will surely sell a heap more D700's becuase of the price point alone and as far as Nikon is concerned it's still going in their coffers. Furthermore this camera has the potential to swing some (perhaps many) Canon users over who are still waiting on the 5DII. And if they want a 2 camera setup Nikon have the feature-packed D300 with pro AF which is also at an excellent price point (and coming down). Most serious DSLR users who can affort to switch, invariably do so because of the SYSTEM, rather than individual bodies or lenses and Nikon's current system is very attractive indeed. Nikon has also recently starting updating their high end glass and I'm sure many of their primes (a perceived weakness of the Nikon lineup) will get a makeover as well so really in the next 6 months Nikon as a system will surpass the opposition IMO.
In hindsight, the D700 should have been a no brainer to us all since Nikon already had all the components and technology working and on the market. It's almost as if Nikon offered up the D300 & D3 as teasers and then said now we are going to give you the best of both worlds in one 'affordable' (perhaps at a 'great price point' might be a better term) body.