I'll go one further and say if you were allowed into Nintendo's R&D facility today you would see working prototypes of their next gen handheld already there. Not just drawings/schematics, but actual physical hardware that you pick up. Maybe even play (they probably have tried porting some 3DS or Wii U software to it, early GBA prototypes were running Yoshi's Story from the N64 on them I think). I think hardware wise they are probably in the final design stages and software development will likely start to ramp up in the next few months. 

My guess is the next Mario Galaxy game and Animal Crossing game will pass on the Wii U and go directly to being launch titles for the new handheld. They will need it -- I think one of the bitter lessons Nintendo learned this gen they can't afford to half-ass a launch, if you do that, then you will be scrambling to "relaunch" for the next several months, even years. 

I think PowerPC is out too -- too exotic (meaning a higher cost to mass produce) of a chip. ARM will be Nintendo's partner, I think Qualcomm will get the nod for the GPU since Nintendo's Tech division head apparently used to work for Qualcomm. ARM + Qualcomm will probably give Nintendo a price that the likes of IBM + AMD simply can't match either. 

Yea not to mention the new handheld will be backwards compatible with the wii u so it will have those games as well which will be new for a lot of people.

PowerPC is hardly exotic.

And considering what Nintendo has been saying about not having console and handheld be completely different, I'd say the chance of PPC handheld are higher than not. x86 is certainly out as its too general purpose. Since I see the WiiU for better or worse having several more years ahead of it, I think it would make more sense for them to work towards PPC integration and all of its benefits, rather than pursue ARM into areas where it itself has never been taken. ARM is for small mobile, there are better alternatives for larger mobile and, definitely, for consoles. For reference on architecture.

I think you did misunderstand my point, I did not mean to say that they are *not* already doing it or even have done it, but that certain aspects, upgrades, finalizations, and streamlinings may take longer due to the changes ahead.

I'm not sure I follow at all. From what I understand, the CPU doesn't matter as much so they can go with whatever makes sense and ARM seems to make sense. According to many on NeoGAF ARM is a better architecture than x86 and things are perfectly portable across either. I think they'll ditch PPC because it's too expensive. The Wii U will be replaced sooner than later, I believe at the same time as the handheld releases actually.

It is better than x86, just about everything is better than x86 as x86 is the 'general purpose' architecture (hence why I said x86 is certainly out). The CPU matters for the architecture and what instruction sets it runs, for example RISC vs. CISC. The WiiU will be replaced much, much later than this new console is going to be entering the market. If they want BC with the WiiU on launch, PPC would make much more sense as it would give them much easier time getting games running on the same instructions without having to rewrite code.

If they launch ARM, then they won't have WiiU BC, simple as that. WiiU and its games are built on PowerPC not ARM.

They can easily have backwards compatibility with the Wii U through software emulation.

http://www.neogaf.com/forum/showpost.php?p=123332822&postcount=773

Do you really think a handheld (with a battery and limited power draws) can software emulate a console? Yes, they "can" do it by software emulation, no they won't do it by software emulation because of reality.

Interesting question in this Nintendo shareholder Q&A.

wttp://www.nintendo.co.jp/ir/en/stock/meeting/140627qa/03.html

"I have been a shareholder of Nintendo only since last year and I am a bit surprised by the fact that Mr. Takeda, chairperson of this meeting, has no more than 200 shares of stock in this company and that except for Mr. Iwata, who owns 6,700 shares, the other directors also have only 100 or 200 shares each. I do not think such small stakes in the company will give you incentive to do your best, and I was wondering if you were just working as salaried employees. Why do you not increase the number of shares the management team holds?"

Fair point really.  It doesn't inspire confidence when company directors have peanuts investments in the company.

If Nintendo wants to succeed, they need to focus way more on WiiU!
I am a Nintendo fan and I still feel that not enough marketing is done!
No need for new console, but for new software and more promotion/marketing!
If they DO plan a new console now while WiiU needs support, they are out of their fucking minds.
If they do release a new console, that would be catastrophic! They will lose customers' respect!
I am certain we won't see a new console till 2018.
We will see.....