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Amazing Nintendo games + compelling hardware concept vs two expensive similar systems that play a lot of the same games and don't do anything new but have better graphics.

The idea that Switch's hybrid concept should be a surprise success because the Nvidia Shield exists is a bizarre opinion. Like, who the hell care about the Nvidia Shield?? What games can even be played on it? So Nvidia made a tablet. Big deal. There are lots of tablets out there. Nintendo provides a fluent ecosystem focused on hardware/software synergy with incredible quality and they are a highly regarded consumer brand. It'd be like saying you're surprised iPhones are popular when so and so random company also has a smart phone.

Switch is bringing in casual non-gamers with stuff like Ring Fit, AC, etc. It's of course bringing in Nintendo fans. It's bringing in children and their parents cuz it's got a load of fun games and the big games in the library aren't all focused on violent action games. And it brings in everyone because its got loads of amazing games and you can play anywhere. It also opens up usage for more types of games because portable is more amenable to play sessions of any length as opposed to home consoles which have the general idea that you're sitting down for a longer play session.

Basically the Switch tells a compelling story:
Play a variety of the best modern games (not small handheld games) and the treasure trove of Nintendo first party games that you'll never get anywhere else, and literally anywhere you want instead of being stuck on your couch.

Compare that to the story essentially told by the other two.
Sony: Play all the best graphics big action games and sports games.
Microsoft: Same as Sony but not as many.