I considered the possibility of a more streaming-based idea and service but I think this is too radical for Nintendo; seeing them lag so far behind on online for so long and their continued insistence on pushing old or aging ideas to capture audiences and markets, I think this would be a bigger step and way out of their comfort zone.
I think they mean to continue in a tad more traditional sense in the console market and rely more on sheer profits from the mobile divisions.

Also; I don't understand the basis for this idea that the Wii U is somehow a central part of their plan; they will abandon it as soon as possible, no sense having a huge anchor weighing you down when you're re-making your brand and infrastructure.

Nintendo as to make sure that the NX family sells well first. They can't afford giving consumers a hard time understanding what their machines are and aren't. First establish your main bussiness, and then if i
that's succesfull, you can sell Wii-WiiU drives for 40-50€ (controller not included).

I have no idea about the quality of broadband connections around the world, but i remember how people became angry and criticized MS' plans when the rumour about XB1 being all online came out.
Don't know if they were just angry that you couldn't trade in your games or because not every one has great broadband connections. Or both, even.

If the connections aren't really that good worldwide, the less is your potential market.
Assuming we are talking about next gen games having to be downloaded and played online.

As Darwinianevolution mentioned, maybe down the line that can be a thing. Before, don't see it working.

Hmm, well that introduces the problem of the sheer lack of size, how will Nintendo support and oversee the production of so many devices, even with a cross-platform OS? They've been having trouble supporting the Wii U and 3DS simultaneously, adding more hardware to assemble and ship and market as well as tailoring controls and other functions to a multitude of devices seems like more hassle than they can pull off and I think they'd be biting off way more than they can chew.

It is an interesting theory though and the fact that people are even discussing us brings us to the good news in all of it; Nintendo have finally realized that they need to change and that what they've been doing isn't working.

The funny thing is. If they have a streaming stick, and IBM servers, they basically stay on the Power ISA

How easy is it to pirate? There's your answer.

I think we'll see something more traditional from Nintendo than a console stick. But I think the handheld console will be able to function as a controller to the home console and will also function as the Wii U gamepad; you'll be able to stream your home console games to your handheld without turning on the TV, and thus also create backwards compatability with the Wii U, even if it's only for digital games

Of course not. Look up the definition of console, that's NOT a console.