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TheLastStarFighter said:

b) Even if Nintendo games aren't that great and/or popular, they're still massively more popular than any other 1st party collection.  As a result, third parties prefer to publish on systems with weaker 1st party presence.  Hell, Sony thought about ditching their entire 1st party line up a few years ago.  If I was a third party looking to have as little competition as possible, that's where I'd go.

Just for clarification....

http://www.dualshockers.com/2014/04/13/sony-could-have-closed-its-first-party-studios-in-2008-but-shuhei-yoshida-saved-them/