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If MS vacates the business or essentially prices themselves out ... I think Nintendo could sell 30-40 million units.

Now this would be different because almost certainly even if the console was much more powerful than Switch 2, it could still use the same architecture and even a similar chip range, just untethered from mobile (10 watt) demands and allowed to use 40-50 watts it could easily run any modern game.

It would have a unified library for certain as bespoke home console/handheld is impossible to make work given modern game development times.