You are not wrong, but handheld gaming has definately seen a steep decline with the rise of mobile gaming. I think Nintendo is wrong in targeting casuals/non-gamers. I don't think that non-gamers make up a decent percentage of of the PS4's massive success. Casuals and non-gamers(soccer moms, grandparents etc) don't splash out $299+ for a console anymore, at least not in droves of tens of millions. The Wii was an anomaly and prior to tablets and smart phone gaming. I think the majority of people that buy consoles now are people specifically interest in video games as a medium, not someone's aunty.
Let's see...Launch price of $149, in a world with NO mobile gaming VS. launch price of possibly $299, in a world where casuals have moved over to mobile gaming in large numbers. Hmmm? Not exactly apples to apples is it?
Non-gamers/casuals have never paid for a console.
They did pay nearly $200 for Brain Training and $350 for Wii Fit with a free copy of Wii Sports.
The most they've paid (if anything) for a mobile game is $5
Don't Play Stationary 4 ever. Switch!