"Feeling pressure from Sega's Dreamcast and Sony's impending PlayStation 2, Nintendo announced on 3 March 1999 that a new video game system was under development. This system, the GameCube, was revealed on 24 August 2000, the day before Nintendo's SpaceWorld 2000 exposition. Along with the specifications and designs for the console, Nintendo had several software demonstrations on-hand to showcase the power of the GameCube, one of which was a realistically-styled real-time duel between Ganon and Link. Despite being a hastily assembled technical demonstration, fans and the media speculated that the battle might be from a game under development or at least an indication of the direction the next Zelda game would take. Staff at IGN referred to the demo as an "unofficial sequel", calling it "absolutely everything we could have hoped for in a Gamecube Zelda title" and stating that "the future looks very bright for Nintendo loyalists".
Nintendo said nothing more about the possibility of a GameCube Zelda game until one year later at SpaceWorld 2001, where a completely new Zelda was shown. Replacing the dark, gritty demo of 2000 was a new cel-shaded look, which resembled an interactive cartoon. Shigeru Miyamoto said the new look was designed to "extend Zelda's reach to all ages". The cel-shaded approach was a radical shift and IGN staff wondered if two separate games might be in concurrent development.
While some at the event enjoyed the new look, there was a backlash from disappointed fans who had been expecting a realistic Zelda game. Many critics referred to the game as "Celda", a portmanteau of Zelda and Cel-shading. Miyamoto was surprised at the reaction to the footage and the media's claim that Nintendo was shifting its focus to a younger audience and he refused to reveal anything further until a playable demonstration became available. It was hoped that once critics played the game, they would focus on the all-important gameplay, rather than simply reacting to the new graphic style." - [wikipedia]