There's no point taking Iwata so literally. You've interpreted "it will take roughly a couple of years for us prepare new hardware" as "our next console will be launching in 22-24 months." He could just as easily be saying they won't be ready to show their next console until E3 2016.

The simple answer is that EAD Tokyo is currently working on their next 3D Mario game. It is most likely being developed on Wii U. (Even if it is intended for release on a different platform, there's no physical hardware for them to work with yet, and I believe Iwata said before that future Nintendo operating systems would be based on the Wii U's). So, when the time comes, the game can be released for Wii U, or for their next home console, or for their next handheld. They can just shift development to another platform.

Basically, no, games are not currently in development for Nintendo's next platform. However, there are games in development for Wii U now that will eventually be moved to said platform.

I think you're wrong on that. Games have to start development and they have to start development fairly soon. Most likely planning stages are already well underway and things will really kick into high gear when Nintendo moves into their new HQ around E3 (per Iwata). 

Time will tell who was right though, but I think the 3DS at least will need to be replaced by spring 2016 anyway (even though Wii U will probably be in even worse shape), so I think Iwata's time frame is actually spot on.

If they want to make big profit for FY17, it just fits that time frame to a tee. 

The Wii U has gotten a 2D Mario and a 3D Mario, which is one better than the GameCube or N64 ever sniffed ... I think Nintendo would be perfectly in the right to say they need to move the next EAD Tokyo Mario elsewhere. The Wii having two 3D Marios just made sense because it had 100 million users in the back end of its lifecycle, the Wii U will be lucky to get to 1/5th that. They need to make sure their next launch is a good one or their future in the game business quite honestly might be up in the air. You cannot launch poorly three times in a row this business, just can't do it. 

Quite possibly. They've wanted future platforms to "incorporate" the Wii U architecture, so they could just launch the handheld with down-ressed copies of Wii U titles to at least have a platform off the bat (and make more money off of Wii U games). This could also explain why they seem to be rushing to get Game Boy Advance running on the Wii U virtual console while ignoring 3DS: if the U setup is the model for the future, it makes sense to emphasize digital content distribution on the U at the expense of the 3DS.

I definitely agree that 3DS needs replaced right around the beginning of Nintendo's fiscal year in 2016

Exactly

You can't start game development for a platform launching in 2016 in late 2015.

Quite frankly if this next launch for Nintendo goes poorly, they are finished in the gaming hardware business IMO. They really will have to go third party because I think no one will give them another chance after that. You cannot have that many bad launches in a row.

Let's be clear here, the Wii U had a good launch, both in terms of lineup and of sales, and just completely cratered after that. The 3DS had a piss-poor launch and post-launch era, but turned around at the first holiday. So it would really be only one bad launch, and one console that crashed post-launch.

The key is attracting a steady stream of third party support to fill in the gaps, as well as a better-focused first party campaign (fewer platformers, Smash or Mario Kart early on to draw in the multiplayer crowd. 2D Mario at launch like for the Wii U, a tie-in to their lifestyle games). And i think the only way to do the former is to piggyback on Android.

A launch is in the modern context its first few months. Wii U had like one or two decent weeks, that's not a good launch. It's clear looking at the launch window in its entirity, that Nintendo was poorly prepared to launch the Wii U, and really that probably stems from decisions they made as far back as 2010/11. They weren't on their game, they thought they could show up with 2D Mario and a mini-game collection and call it a day. 

Your constant hammering of the "Fusion" console into our heads is quite interesting. What in the world sparked that in your brain, side from a dream or extremely shaky rumors?

When Nintendo announces a Fusion console, I'll believe, of course. As of now, I don't see it and I hope we never will.

From Iwata's own comments. 

That you interpereted into your own.

I've seen pretty much all of what he's said, and he's never out-right mentioned something like Fusion. He could be referring to something much more simple in the grand scheme of things.