If it cost $300 in 2012, and seeing as Nintendo can't afford to lose as much per console as Sony, your so-called "Titan" would likely be closer to the Wii U in terms of power than the One, much less the PS4. A "vanila" Nintendo console released in 2012 for $300 would likely be a Quad or Hexa-Core with 4GB of RAM; the PS4 is an Octa-Core with 8 GB of RAM.
Do you think the Wii U would suddenly fare much better if it had half as much power as the competition? Even after the GameCube was generally more powerful than the PS2 while often being cheaper? Even though most games of the 6th generation didn't exceed the size of a GameCube disc?
Major 3rd party developers and/or publishers don't like making games for Nintendo consoles. Who to blame is irrelevant; a bit of extra horsepower wouldn't change that.
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