Honestly, no I don't think so in the long run they would have sold more systems.
N64 would have sold north of 80-90 million systems if it retained the same 3rd party support the Super NES had (they compromised on the CD issue and kept Squaresoft happy). Mario 64 + Final Fantasy VII/VIII/IX + GoldenEye 007 + Zelda: OoT would've crushed the Playstation and Nintendo would've reaped the full benefit of a growing game industry (ie: people who were kids as NES and SNES owners moving on up in their teenage years to N64 as new kids were also coming in).
I'm honestly not sure how well the Playstation does, in Japan for example PS1 was not really doing huge numbers even by about 1996 it was getting outsold there by the Sega Saturn. In the US the sales were better sure, but not like amazing prior to about late 1996. The N64 sold way, way faster out of the gate than the PS1 did. It's likely too that companies making games like Tomb Raider 2, Metal Gear Solid, etc. would not agree to exclusives on Playstation and miss out on the larger N64 userbase if it had CD.
From there, well GameCube or N64-2 likely just repeats a similar number or goes higher as Playstation never establishes itself as a market leader, who knows if there's even a PS2.
Game Boy Advance would sell over 100 million units.
Etc. etc. You can see where this goes. Even with the Wii and DS spikes, I think they would have sold more in the long run had they maintained their position as the defacto 3rd party platform as the NES and SNES were. Game Boy would've continued on and cleaned up because of Pokemon and IMO their console side business would've grown past 90-100 million per generation just with the natural growth of the industry.
