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Though Nvidia downplayed console margins, their pride was hurt by the lossin console contracts. All the talk about "focusing on Shield" was a cover for the fact that MS and Sony had soured on them and would not enter negotiations.Not just that, but first info we had about Nvidia on NX (SemiAccurate) was telling that Nvidia gave Nintendo very good deal. Here is that info from May.

  • Nvidia team was told to get a console win or "go home." Enter Nintendo, who apparently made off very well in this deal. This to the point that SemiAccurate questions whether this is a "win" at all for Nvidia.
  • SA has heard that Nvidia are promising software, support, and the whole shebang at a very low cost. According to one source, Nvidia may even be taking a loss on this deal.
  • Not mentioned which generation of Tegra or process node will be used or when the handheld is scheduled for release.
  • No mention of the home console, but we can speculate what that might be and who might provide the chipset for that one.

http://semiaccurate.com/2016/05/12/guess-whos-silicon-is-in-nintendos-nx/

I'd be willing to believe it was Nvidia if it wasn't for this.

Nvidia doesn't downplay console margins just for the sake of downplaying them.The truth is that console deals would be negligible for a company as successful as Nvidia unless of course, they were on the winning end of the deal which this guess implies otherwise.In case you don't believe console deals even one that benefit both parties are negligible just take a look at AMD, they currently manufacture for all consoles yet they are in the shitter.Why would Nvidia want such deals? and even more so why would they want a losing deal?