Nintendo's revenue will decrease if it goes third party.

[joesampson]

Vena said:

MoHasanie said:
Well that's obvious. The real question is how profits will be affected and I think those will increase.

60% of their business is selling consoles.

They'd likely need to see a several hundreds of percents increase in software sales over their Wii software sales to see profit. At all.

Source on the 60% number please and is that 60% of sales or profits. 

And even if true, what is the original r&d cost to develop each console. You can't just look at COGS to determine the total cost of making hardware.