But the point of consoles is compatibility, unlike PC: every game that you have on console will work properly on it. If your PC lacks proper graphic card/processor/[insert your favorite component here] or even if it has enough power it is still not clear whether it can manage all of your games. For example my friend has 2 years old upper middle tier PC and it can't run Shogun 2 even at the lowest settings.

Same way my PC can't run Dawn of War and Winter Assault properly, but works fine with Dark Crusade and Soulstorm. Dawn of war was released in 2004 and Soulstorm (the expansion pack) in 2008, so what gives?

PC never has that 100% guarantee on compatibility.

IMO consoles are not outdated because they don't compete in the same league with PC's. Just like PC's don't compete with Super Computers.

I was thinking about this the other day, I personally don't think it will happen quite yet as I think Nintendo will release their next console in 2017/2018 and Microsoft/Sony will do so in 2019-2021 and a gap that big has happened in the past. The big question is, will the next gen (if it ever happens) be even more out of whack? Sega was on a trend of messing up the gens and Nintendo might be as well, how we would count the gens then I have no idea.

I think the Wii U belongs to the 7th generation. I bought mine because I wanted a Wii but saw Nintendo cutting off their support for it and this version had higher technical specifications. I expect the next Nintendo console to have developer friendly architecture with lots of power. I know the popular view is the Wii U as 8th generation but only history will be able to confirm it.

Id like to hear other people's opinions regarding this 

The Wii U is still competing with PS3 and 360 these days

2016 too early even for handheld.

With Iwata saying they expect nintendo-like profits in 2017, I guess that's when it will release.
Home console a year later, or same year but in holiday season.

Sony/MS won't wait more than 2 years, so if 2018 is homeconsole, then XB/PS will be 2020 at the latest, and earlierst 2019.

I'm certain.

Assuming Microsoft and Sony still release their consoles within a couple years of each other, we'll probably use their consoles to define generations. Majority vote and all that.

it's a pointless argument. Who cares what gen it is assigned to by who. Consoles can be released at any time and it isn't always black and white where they come out in the same year or 2 or even 3. It has happened in the past and it will happen again.

If we used the timeline in the OP, you could say Nintendo will release their next console after that in 2021.

2016 would be Gen 8.5
2021 would be Gen 9.

So it wouldn't get mangled in that case.

I don't think there's many generations of hardware left anyway.

There will be a Playstation 5, yeah probably, but Playstation 6? Doubt it. Dedicated hardware will be replaced eventually by a streaming service, just like Netflix killed Blockbuster Video.

Enjoy it while it lasts, once things like Google Fiber and higher speed internet inevitably spread through the US, the home console's days are numbered.

As for Nintendo releasing a new Fusion platform in 2016, Sony/MS don't have a lot to be worried about IMO, it won't be something aimed directly at them. Expect something that uses handheld/mobile chips, but just allows you to run those games on a TV at 1080p (versus the handheld resolution). Graphical fidelity will likely be an OK-ish improvement on the Wii U, but nothing major simply because the handheld can't realistically be much more powerful than that. 

Beyond that I don't think Nintendo has any real desire to compete head on anyway, those days are long over.