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Yeah, I read somewhere it went like this:

Microsoft: Nintendo, we're making a console for the next cycle, and we need someone to do a lot of the software. How's about $20 billion?

Nintendo: Hahaha, good one MS. That was a very funny and yet so believeable joke, haha...

Microsoft: uhm... we're serious?

Nintendo: really? Damn, lol dude... but sorry, no deal. Nintendo is a profitabble company, and not for sale, not even for $20 billion.


Not long after that, Yamauchi made some kind of reference comparing Microsoft's ''invasion'' in the console business to America in the Vietnam war.
Damn, Yamauchi's console-regime had fallen to the likes of Sony, but he was still SUCH a badass...

Good thing Nintendo didn't agree with the deal, seeing they're worth like 5 times as much as what Microsoft offered back then.