Reggie admits Switch was a "Make or Break" product after the poor performance of the Wii U

[Mnementh]

RolStoppable said:

Azzanation said:

I believe somewhere in the past that they said Nintendo has enough room in the bank to make 3 consecutive flops in a row before they consider dropping out of the home console market. 

The number of flops that a company can afford depends on how to handle any given flop. What Nintendo did with the Wii U was to cut down on costs to lose less money on it as opposed to trying to make it sell as many units as possible. Nintendo lost less money on the Wii U than Sony lost on the PS3.

That's why statements that it would take a few Wii U-like flops in a row are correct, because Nintendo's businessmen are competent enough to navigate through rough times.

You could argue though, that the willingness of Sony to power through the failure and burn money is helping the consistency of the Playstation brand overall. Building trust.

On the other hand PS3 never did go as bad as WiiU, especially after it launched in europe (which was months after the american and japanese launch). The eruopean launch did well and somehow saved the image of Playstation a bit.

Also, if we consider Vita, Sony was dropping it like a hot potato pretty fast, so their willingness to eat losses seems to differ. That it didn't tarnish the PS image more is only explainable with how many dissociate in their mind home consoles from mobile consoles.