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Microsoft did everything they could to court major third party publishers and look how XBox turned out. 

The truth is that every successful Nintendo console has had lots of third party support.  Over 90% of Switch games are made by third party developers.  However, we also know that its the major Nintendo titles that are the biggest sellers.  A console needs both.  It needs major high quality games and it also needs a large quantity of games.  Nintendo produces the heavy hitters themselves, but if you take away all of the little games, then the console doesn't do too well.  The N64, Gamecube and Wii U didn't have a large library of games, and they didn't sell a lot of hardware.  Every other Nintendo system had lots of third party games, and they were successful.  

Those third party games matter, but it doesn't have to be from Take Two, EA, etc....  Small to medium budget third party games is all that a Nintendo system needs.  Nintendo makes the heavy hitting games on their system.