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melbye said:
N64 not having CD's

Most likely this.  They lost so much of the mind share and games from Japan that they had with the SNES by not going with a CD format that the N64 could hardly be claimed as the successor to the SNES (first party notwithstanding).  But Nintendo didn't have many options since the 3 major CD technology manufacturers had ambitions of making their own consoles (Phillips had the "CD-i", Panasonic had the "3DO" and Sony the "Playstation"). Nintendo needed a tech partner but they didn't want to give up much control of anything which mistakenly led to the CD-i Zelda's with the fallout with Phillips and allowing Sony to evolve the SNES controller into their own.  Nintendo  did not play well with others it seemed and they ended up going it alone and so did the others.  Though the next gen after that all 3 of those CD manufacturers were back as a part of the new machines.  Phillips made the disc drive for the Xbox, Panasonic the drive for the Gamecube and Sony did their own stuff again with the PS2.  In retrospect, Nintendo and the N64 lost Japan at a time when they were the most important to have.