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RolStoppable said:

Lack of interest is really hard to buy as a viable excuse when it comes to a system where everyone could expect a minimum of at least 50m systems being sold. In the end game development is a business, so foregoing working on a platform because you don't feel like it is... well, it sounds really selfish.

Power might be part of the reason, but it's meaningless to have power when the result is still that a lot of games would be absent because the reasons go way beyond power. Ultimately, the reason why various third parties would not develop for the Nintendo console could be once again described as "devs were just not interested". And if power isn't the cure to lack of third party support, then it really isn't important how powerful Nintendo's next system is. What matters is that the system sells and there's simply no evidence that power has ever helped Nintendo to move hardware.

I suspected that you would name those four systems. The problem is that the NES wasn't a me-too system and that the N64 and GC can't be described as successes. So there's only one console left and even that one declined in sales from its predecessor; furthermore, it was also launched in the pre-Sony and Microsoft era, and the market dynamics have clearly changed a lot since then.

You are right that Nintendo could have produced a 1 teraflop system with 4GB RAM if they spent the money on processing power instead of the Gamepad, but what makes you believe that it would have sold? When it comes to power, it would have still been behind the PS4 and X1, so the market at large would have decided to wait for the other two systems before making a decision. When it comes to third parties, some of them would have still not developed for the Nintendo console for whatever reason they could come up with, which in turn would have made the decision for the market easier to buy a PS4 or X1 instead. Lastly, launching the console with a standard dual analog controller would have turned off the Wii audience even more than the Gamepad did. In the sum Nintendo would basically be at exactly the same point as they are now, trailing far behind the competition in sales.

A system of 50m people is useless if they're only going to buy casual games and Nintendo titles, if the system isn't designed for your audience, you don't expect your product to sell much on it regardless of its userbase. I couldn't speak on the many of the devs that lacked interest in Wii U, I still suspect a lot of it is due to power and percpection but regardless I think you speak in black and white terms regarding a systems potential to sell. The question isn't whether Nintendo was going to win 1st or second place or whether 100% of third party games would be there, but could they comfortably grow beyond the success we've seen on the Wii U. 

It wouldn't have to outsell the Xbox One for it be more successful then the gamepad scheme. One which i don't think attracted any notable amount of the Wii audience, one which also generated confusion through marketing with emphasis on the controller, making it appear like an accessory. With a more powerful Wii U, being the least powerful isn't a huge problem as long as you're offering a generational leap. Would plenty of people hold back and wait for the PS4/X1? Sure! The question really is whether more people would more have adopted the Wii U? I think so, of course assuming this brought it better third party support (I'll agree to disagree on that). We may disagree here too but I don't think the power difference has too much to do with the PS4's success over the XB1. In the markets where X1 is strong (USA/UK), the difference between the platforms is negligable  and can be drawn from the fact X1 was $100 more expensive at launch+bad press etc. Similarly, being weakest of the 3 certainly wouldn't help the 1tflop Wii U, but it doesn't mean it wouldn't find success. It'd be the cheapest of the lot whilst still being very capable system considered a leap over 360/PS3.

N64 and Gamecube may not have hit their sale goals but they were successful at being profitable and satisfying consumer demand. Essentially there is potential in the "me-too" approach, its how the Xbox brand grew. I believe the market is more receptive to it now then it was in the PS2 era where jaugernauts like Final Fantasy, GTA , Tekken and kingdom Hearts were treated like sony 1st party titles. The jaugernauts of today will be whored out to any system where they will make profit without too much effort