As a regular Wii player, I highly doubt the Wii can "win over the Halo audience. By "Halo Audience", I'm pretty sure Reggie just means the 'core' gamer audience in different words. You guys are taking his statement too literally.
The reason I believe this is not possible because those kind of gamers are absolutely big on online gameplay and graphical powerhouses. The Wii's online is decent but obviously not satisfactory for this audience, and if you plan on going after them, a huge amount of improvements are required.
I'm not the first one to say we need to get rid of friend codes and bring in universal profiling for people. Heck, I'm not sure why Nintendo never did this - using a universal profile that can add friends with a few button prompts is MUCH easier to use (even for a person that does not play video games), than having to look for long series of numbers, writing them down, and then contacting a friend in ANOTHER way, and having him/her do the same for you. Very disappointing and unnecessary, still not sure why they went that route.
So basically, I'm going to say Reggie shouldn't have made this statement at all. Probably should have stuck to something safer like "We still do recognize our core gaming audience - look at our E3 announcements, when was a last time so many 1st party games were announced, etc."
Fortunately, I play for fun and the experience of the games, and not so much competition. High Voltage's multiplayer games should be fine for me, and I'll still be enjoying those great single player games.