Just looking at it, seriously if they hadn't gotten so obsessed with chasing the mythical dragon of the next big "controller craze" and just made a normal console with a standard Wiimote + Pro Controller combo in the box. The Wiimote brought in casuals, and core gamers don't care about fancy controllers so a regular pad would've suited them just fine.
If they had taken a reasonably priced modern AMD GPU like a 7850 and put that in the box and dropped that ridiculous power restriction (33 watts? who cares). You can always shrink the chip as the years go on and drop the power consumption, IMO even with a cheapo tri/quad core CPU + 4GB of DDR3 RAM they'd be able to run most any PS4/720 game, just in 720p rather than 1080p, which most people can't even see the difference at 10 feet away anyway.
Don't get me wrong I think the tablet controller is neat, but it just restricted the hardware so much and doesn't bring enough to most games to warrant building an entire platform around this idea. I think the tablet controller maybe could've been an optional accessorie bundled with Nintendo Land for $99.99 or something (not unlike Wii Fit + Balance Board). Betting the entire farm on this controller was a mistake.
A year headstart with this kind a 7850 powered machine, they easily could've not only versions of things like BioShock 2 and Deadspace (read: no game drought) but they also would've had far better looking versions than the PS3/360 all to themselves for an entire year.
Throw in New Super Mario Bros. + a couple other Nintendo IP and a few casual games like Nintendo Land and they would've sold through 10 million this first year easy IMO. People are *tired* of their freaking 360/PS3/Wii they want something new, but another PS3/360 with a low res touchscreen controller is something no one asked for, not consumers nor developers.
A year headstart with this machine and Nintendo's laughing to the bank because Sony/MS would not be able to create machines that outpace a 7850 GPU enough that most people would notice, and Nintendo would not only have probably a 10+ million unit headstart, but also the year would let them bring down their component costs so they could sell at $299.99 and Sony/MS would be stuck at $499.99 for fall 2013.
Imagine Sony and MS having to launch this fall against a Nintendo console that was $200 cheaper, had a year headstart in its library catalog, and had Mario 3D + Mario Kart + very close versions of Watch Dogs, Battlefield 4, COD, Destiny, etc. coming in the fall/early next year. People say GameCube, GameCube, but in this scenario, I believe the Wii U (or Wii 2 or whatever) would be the Playstation 2 in the analogy.









