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I think his opinion is wrong, it would be dangerous for Nintendo to leave hardware.

And also Nintendo has had a long history being profitable on hardware, and that could very well continue for a while.

New handhelds - even the Wii U is likely to pick up in sales.  The amiibo brand wouldn't be as easy to do, if Nintendo wasn't in hardware.

Frankly, you have companies - like 3do that left hardware - maybe they could have been a success in software, they ultimately went bankrupt - but even if they had stuck around I wouldn't have cared - it was more interesting when they had a console. 

Sega was more interesting when they had a console.  I noticed the history of Sega- the book was called "the Rise and Fall of Sega"

 

It wasn't called the Rise, Fall, and software rebirth of Sega - because frankly it was a fall...

I didn't read the guys article, so i can't comment on it, but I would say someone advising Nintendo to leave hardware, is likely just advising them to fail, for whatever reason.