Game Boy again was just an outlier. Nintendo was planning to end the Game Boy by 1995 or so, ARM who was designing the successor system (Ultra Game Boy? Game Boy 2?) simply could not live up to the size/battery/performance targets they set out for.
Mid-90s was a very, very different time for portable chip tech, battery life, screen tech, etc. etc.
If Nintendo had their way I suspect they would have liked to have released the Game Boy successor for holiday 1995 (and that would've canned the Virtual Boy from ever releasing). But with no Game Boy successor ready and Ultra 64/N64 delayed into 1996 ... Yamauchi seemed hellbent on releasing something ... anything for 1995 as both the SNES and Game Boy were long in the tooth... and I that something was the Virtual Boy (and we know how that went).
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