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I don't think Vita level hardware would look very good on a TV either circa 2012, even Miyamoto said HD is important, by 2011/12 everyone and their grandma (literally) had a HDTV ... to have a "console" that only outputs at like 540p (sub HD resolution) would be another blow against it.
The concept just wasn't ready for prime time in 2011/2012. Mobile chip tech just wasn't there yet. The console side experience especially would've been quite underwhelming.
The other thing is it would have likely cost $250-$300 with mostly the 3DS library ... and take a gander at how the 3DS was selling at $250.
It basically would be a more powerful version of the 3DS with TV output, but I suppose minus the 3D screen quite probably. The Tegra 3 was still a very new chip circa November 2011.
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