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JRPGfan said:
Louie said:
Nintendo will always have to differentiate itself from the competition. In a symmetric, head to head battle over market share Nintendo can only lose because in this case the company (or companies) with the bigger financial resources almost always wins.

What did all those people think who said "NX is going to be successful because it will be a powerful Nintendo console"? Nintendo has never had success by outrunning their competition technology-wise. It makes you wonder where people have been during the N64 and Gamecube era. Back in the 90's it was Sony who copied (and improved!) upon Nintendo's sustaining innovations. Today it's both Sony and Microsoft who will always One-Up them in a direct, head to head battle. The hope that NX would succeed because of power was always an illusion.

Nintendo has a huge amount of cash just laying around.

If they wanted to do battle with Playstation & Xbox, they could.

They could look the best of what playstation&xbox has that they dont, and impliment it in their systems and aim for equal power, and work on getting 3rd party on board. I think they could win a battle like that. I dont think they need a gimmick, just equal features to the others, and adaquate hardware. Their games will do the rest.

Man, no they couldn't. :p  Nintendo does not have the financial resources to outcompete Sony and Microsoft, because those two are willing (and in the case of Microsoft financially capable) of subsidizing their console businesses with billions of dollars if they choose to do so. I'm not saying Sony and Microsoft are "better" companies, just bigger ones. 

Sure, Nintendo has quite some cash. But they can't lose money for three consecutive years and they don't have the overall resources to compete directly with Sony and Microsoft. For instance, they don't have the in-house knowledge and manpower to compete with them when it comes to online infrastructure and feature parity of their consoles. But that's just one example. Nintendo's profits have plummeted bady over the last 5 years and they had to scale back their business already (they layed off staff in Europe , scaled back their presence at events like e3 and generally had a very "safe" software output for the last few years).