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Nintendo just needs to keep improving their online services. Definitely don't need to Game Pass things. Microsoft was forced to do something different because they and Playstation make very similar products but the Playstation brand is much stronger so Microsoft had to change their plans in order to stay relevant. Just as when Nintendo came out with the Wii because they realized they couldn't compete on console specs with two much larger companies who could afford to lose massive amounts of money pushing out systems at a loss. Nintendo, other than the Wii U misstep, has been dominant since then. And for Microsoft, Game Pass is the thing that separates them from Playstation now and it is very popular.

Nintendo already found its highly successful niche (focusing more on innovation and play styles than the latest graphics and expensive hardware, and besides handheld systems were always their bread and butter when it comes to HW sales). Microsoft is finding its niche in a games subscription service. And Playstation was able to stick to the standard console product because they had been dominating that since the PS1. It's good that we are starting to see each company do separate things. Nintendo no more needs to learn from Xbox and Game Pass than Microsoft needs to release a hybrid portable Xbox.

Nintendo's pace of improvement when it comes to online is slow, as always, but they are on the right track now and building out their online services of the future. Sure it'd be nice if GB and GBA were already available or if more than one N64 game were coming out each month, but they'll get to them eventually. And yes they need better friend matching/invites options and stronger online infrastructure and need to scrap the silly mobile app to build voice chat into the system. But they are building out an amazing online system and don't need to do what Xbox does.