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I don't know if this has been mentioned before, but something important about the Fusion idea is that Nintendo would not longer be forced to make one Mario Kart for handhel, another for home console, one smash bros for handheld, another for home console, they could make only one of those games per generation, and dedicate the "free time" to make new games.

I don't think Nintendo should try to make powerful consoles. Power is really becoming less important. Many people can play the new gen games ok with PC's from 2008.
I think Nintendo should make their new console the most powerful thing they can make for USD250, with no gimmicks apart from being able to play the handheld games.