Do you seriously think people will double dip forever? I don't know anyone with multiple VC copies of any game. I know that's anecdotal, but people aren't stupid enough to buy the same thing over and over again. They lose more money by destoying consumer trust when they restart the VC every generation. People are hating it now. No one thinks the Wii U's VC right now is a good thing, and it's a waste of resources redeveloping the same game over and over again. And it pisses 3rd party devs off when the have to do the same.

They could instead be building a library of games infinitely. We might have a GCN and Dreamcast VC right now if Nintendo wasn't wasting resources rebuilding the Wii's. Now we don't even have the N64, Genesis, or Turbo Grafix 16 yet. You think Nintendo and other third parties want to do that all again next generation? I don't.

As for the powerful console bit, no you don't. Just on par with the PS4/XBO by like Winter 2016. Nintendo can get that done in that timeframe for $300-$250. 

If they want to continue alienating themselves from 3rd parties then sure.

Some other users here have suggested that they may instead go for ARM. Do you think this would help?

I think people will still buy old games for nostalgic purposes. Not everyone keeps their old consoles and many sell old games. 

But how much does it cost to bring back old games? If people weren't buying them then they would stop making them. Clearly its still making them money. 

A console that is just as powerful as PS4/XB1 will be a good decision for 3 years until PS5 and the next Xbox release. And then again Nintendo will have the weakest console. 

But they won't have new consoles until 2020. They are actually doing half decent. The Wii U's successor will be out in 2016 because the Wii U is doing do porely. Maybe the Wii U will get new swansong games for the rest of 2017, then it's all on the new console. That gives Nintendo 4 years of being on par with the PS4/XBO, as opposed to 1 with the Wii U with the PS360. The Wii U wasn't too early, it was too late. The SNES was released what, 2 years after the Genesis? This would be the same thing.

I think you're severely overestimating how many times people will be willing to rebuy a game they know shouldn't need to over and over gain. How much does it cost to once again rebuild the libraries of 3 entire consoles while still needing to get on with building the libraries of newer ones like the GB(C), GBA, DS, and GCN? More money than they care to waste a third time on.

It should never be an option, run it on hardware or not at all. The PS4 is more than capable of emulating the PS2 and PS1, but Sony doesn't want to put in the work to do that. You know $$$ 

The Wii U can handle pretty much every one of it's predeccessors in one way or another. However $$$. I'd rather that my library of games and it's saves transfer with me to the next generation Nintendo home console whenever that is. 

Third parties still made games on Wii. The Wii U just needs more third party releases from other companies. Then again I consider the Western third parties a lost cause. Most of them only care about being lazy and "the most powerful hardware evarrrrrr". 

You arre severely underestimating the Wii U and it's technical abilities. Dreamcast and genesis will never happen because Sega. You have to understand Wii OS is not Wii U OS. Combined with licensing (which is a bitch, trust me as someone who's worked with licenses in the game industry), and redevelpoment and updating the VC it's still a full time job. What you're expecting is people work for nothing and update this stuff. There is no flip of the switch and then it works. Upgrades are nice, they allow you to use console features that otherwise were unavailable on the previous generation. I feel that's fair compensation.

There is no need for a Wii U successor at all until Sony and MS decided it's the end of their cycle (Which cause of the architecture of their consoles this will be an incredibly short console generation) and in 2016? 2 years from now is too soon and a console releasing then would never be 250-300 dollars. The Wii U has a long life ahead of it and if people can't see that I feel incredibly sorry for them 

well porting mobil games will be much easyer and the big 3rd partycompanies are going mobile, and in 3-4 years smartphones will be stroger than the ps4...

No I'm not. It has nothing to do with the Wii U's technical ability. I think the Wii U's successor will release in 2016 because of the Wii U's selling ability. It has none. It has no future. It has Smash, then Zelda, maybe Metroid, then it's dead. There's no hope for the Wii U sales wise anymore. And this is coming from someone who prefers the Wii U to the PS4/XBO. Consumers don't want it now, and the way E3 went, they won't want it later. Nintendo gets that.

There's no way they're going to admit it because it would cannibalize sales, but they'll release a successor as soon as possible. By November of 2016, the Wii U will be four years old. If they continue to support it a year into it's successors life, that's five years of life for the Wii U. That's more than enough time.

There is a need for a Wii U successor. The Wii U won't survive until 2020. Sales will just drop and drop until there's nothing left. Nintendo can cut that loss by releasing hardware that they can sell at a profit in two years with more selling power. There's little doubt in my mind that they will be able to make a $250-$300 box by Winter 2016 that can produce graphics comparable to the PS4/XBO.

The issue becomes if they can do that while remaining backwards compatable to some extent, whether it be digital only backwards compatability or otherwise. And what happens to the 3DS/DSi library? Does that just get restarted like with the Wii to Wii U, or can they incorperate that into the new eshop as well? These are the things Nintendo needs to figure out.

Little doubt that it'll be out by 2016, though.