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Soundwave said:

Shared ecosystem is meaningless from a practical POV if there isn't shared games. Imagine iPad, iPhone, iPod touch if the apps (the software) weren't shared. That would basically render the whole concept moot. 

As to the second point, maybe Nintendo is simply waving the towel to the graphics race and saying "we're fine with basically making our games with about Wii U fidelity". The advantage for Nintendo would be that they can now sell all their games to the vast majority of their fanbase. For example right now they can only sell Splatoon to like 20% of their audience base because it can't be shared with the 3DS. I think they want to get away from that problem in particular. The best/most expensive to make Nintendo games should not be selling to the lowest section of their userbase, that's just bad business, and I think really more than anything that might be the driving force behind Nintendo's unification plans. 

It's not the approach that thrills me as a gamer per se, but I can see the reasoning from a business point of view. Unforatunetly I don't think Nintendo really cares much about graphics performance, even 2/3rds of their Wii U games barely utilize the Wii U's hardware as is. Most of their design teams will likely be as happy as pigs in dirt with a home console even just 2x the Wii U. 

I hope they don't go this route, but deep down in my gut, I can totally see them doing it. You're right though, the console likely wouldn't sell that great, but maybe Nintendo has simply made peace with that are happy to at least get all their games to their wider fan base which they can't do right now with 3DS/Wii U.

If the 3DS could run Wii U games (even down rezzed-ones) that would means games like Splatoon, Mario 3D World, Legend of Zelda, Bayonetta 2, etc. would have had access to like 5x the userbase (52 million 3DS owners + 10 million Wii U owners) but that isn't possible today, my guess is that will change with NX. 

If you read Iwata's statements regarding their comparisons with iOS, Android and "architecture integration", he doesn't seem to mention a shared library at all. What they want, is to find a way to see if "the transition of software from platform to platform can be made simpler" and that "this will help solve the problem of game shortages in launch periods of new platforms". According to Iwata, the reason for this, is to "avoid the situation in the past in which various software assets could not be leveraged when we launched a new hardware system because making software on the new hardware was significantly different from that of previous systems." It's to integrate "software development methods, operating systems and built-in software and software assets for each platform so that [they] can use them across different machines." I'm sure there can be some games that use this concept where it's cross-play, but their entire library? That's not likely, especially since it will make their consoles obselete, and I doubt they have given up.

Let's also not forget about Nintendo's philosophies regarding the differences between home consoles and handhelds. Iwata believed that "there will always be unique experiences that only home consoles can realize. Nintendo has to make efforts to offer the public something only our home console systems can achieve ... (stuff about watching TV programs, etc) ... We must focus on what kinds of unique entertainment can be created when a home console can reproduce its images on a large monitor screen which can be viewed by several people at the same time." If NX was both a handheld and a console that shared a library, then this philosophy woudn't make any sense since that will destroy the notion that there are experiences that only home consoles on large TV screens can achieve. If all you're playing on the TV are handheld games in higher resolution, then those aren't the rich, unique home console experiences Iwata talked about. Miyamoto has stated something about the fact that home consoles and handhelds are different, he believes that "handheld devices and home consoles will continue to coexist for the time being because they have different goals" As of now, this hasn't changed. Their handheld and console games aren't the same experiences. 

Has anyone considered the idea that NX may not even be a successor to either 3DS or Wii U, but a 3rd pillar system? People are thinking that this is a successor to one of those, but what if it's like the DS was supposed to be during the Gamecube and GBA era?