Im not a business man by any means, but I did have a thought about how Nintendo could compete in the console and online space.
If I could make a suggestion to Nintendo.
For their next console they should up the price of NSO to 60$. Just one tier for now. I would ask Sega, Capcom, Konami and Square-Enix to release their old games from the NES, SNES, N64, GB, GBC, GBA, Master System, Genesis and Arcade games(and more later) exclusively on NSO. I would give all four 5-10 dollars for each yearly subscriber and maybe like 1 dollar for each monthly subscriber. If NSO gets 10 million yearly, thats 50-100 million dollars for each company on a yearly basis. Now imagine it reaching 50+ million.
Now you have 4 of the biggest third party gaming companies in Japan with some of the biggest IPs in gaming history doing everything they can to make your console succeed. More ports from newer games, more exclusives and hundreds of some of the greatest games ever made.
Now there are definitely things that I have no idea about and didnt think through, so I would like to hear what you guys think. Would this be a viable solution? Would Nintendo ever be willing to share that kind of money?
Since many of those games are already available on other platforms, most probably with contracts for more to come, I'm not sure if that's even legally feasible.
Also, giving the companies a flat rate without any specified commitment means they could just release a grand total of one game and reap the same rewards as a company who releases 20+ games through this scheme. There needs to be at least some tiered system based on the number of releases to make sure they'll release their games at all through the system.
Finally, it doesn't need to be exclusive. As long as it's only on NSO where you can access all of them without any other fee to pay, it would be fine. If you need to buy them separately (or part of a bundle) on other platforms while you can get them all included in NSO, there would already be enough added value to make NSO worthwhile.
Oh, and the price for NSO should be dependent on the number of supported platforms, if all those mentioned platforms are included then I'd say it could warrant a $40-$50 monthly price tag. If more getting added later (like Master System, Game Gear, Saturn, Dreamcast, Neo-Geo, PC Engine, Wii, maybe even DS if the system can output both at the handheld and TV simultaneously), then I think the $60 pricetag could be warranted, but otherwise without any other bonuses the price would be too high.