So according to VG chartz numbers, the Wii U has a good chance of passing the Dreamcast next week, then we can put tne whole Dreamcast thing to bed.
Wat? The Wii U has sold considerably slower than the Dreamcast. That was my whole point. The Dreamcast sold better than the Wii U and was still discontinued yet Nintendo are still supporting the Wii U which has been annihilated by the competition. Nintendo haven't a clue as to what they are doing.
Keeping their user base happy and some time trying to make profit (look last quarter report and this holiday one)!?
Keeping an ever reducing user base happy. Wow. They really don't know what they are doing. They haven't done a damned thing to get in new core gamers since the Gamecube and they are now paying the price dearly.
And what else can they do? They have already stated that they are not happy with sales of the consoles, something you mentioned. They don't want to give it too much support because, come on, it's a flop, but they must keep their user base to prevent disasters in future generations and, overall, because they don't want suffer what SEGA suffered in the past.
Nintendo have more revenue from hardware than software.
Nintendo have more revenue from handheld than home console (except for during the Wii).
"Royalties & content income" have never been a major source of revenue.
Nintendo built a new R&D-building next to their Kyoto-headquarters. The construction of the facility costs about 200.000.000 $ (this is also something that disturbed their profitability in the last years)