Consoles are one of those markets that has essentially reached the steady state part of their existence. The only thing keeping hardware sales strong over time is the periodic release of new systems, but the percentage of people in the main three markets (NA/EU/JP) willing and able to buy one has essentially maxed out. The console market showed growth in the 80s & 90s, but there's just no more room for growth unless markets outside the main three start to adopt consoles en masse.
But if perpetual growth is what is needed for a business to be considered "healthy," then capitalism itself is terminally ill.
I guess the discussion is market growth being almost zero, still having steady revenue stream, but increasing cost. How long will that be healthy?
duduspace11 "Well, since we are estimating costs, Pokemon Red/Blue did cost Nintendo about $50m to make back in 1996"
Mr Puggsly: "Hehe, I said good profit. You said big profit. Frankly, not losing money is what I meant by good. Don't get hung up on semantics"
Azzanation: "PS5 wouldn't sold out at launch without scalpers."