They will launch mid stream against the competors. Ditching the WiiU much like Sega ditched the Saturn....

They will launch it will some of their heaviest hitters. We will see Zelda and 3D Mario within 12 months of its launch. It will have other great titles.

But it will not sell well as Nintendo had hoped and they will throw in the towel after 2 years, and announce they are developing as a 3rd party for home consoles, and mobile games. Zelda NX and Mario 3D will be ported to the PS4 and XB1 by CMAS 2019 and sell like crazy.

The NX will hold a special place in Nintendo fans hearts, many will say it was the greatest console ever and should have been given more of a chance.

Edit- I understand why people said my OP lacked logic, because I said it would fail without explaining why I think it will, adding my clarification from later in the thread.

1. Killing the WiiU early (which I think the poor showing at E3 is a foreshadowing of) will put a bad taste in consumers mouths. I personally dont trust Nintendo anymore.

2. It will be launching in 2016 or 17, right into the prime of the XB1 and PS4. Against FF VII remake, Against Shemue 3, Against Elder Scrolls 6, against GT7, against all typical annual titles that likely will not be available on the NX, FF XV, Dragon Quest, KH, GTA6, TLOU2, Horizon, and many many more.  Even if Nintendo offers all of its top tier franchises in the 1st year it cant top that.

3. People still love Nintendo, but 3rd parties are king now. I personally dont believe that they can carry a console on their own like they did with the N64 and less successfully with the GC. They seem to have no relasionships these days with 3rd parties. Had the Gamecube had better branding, and launched with Spaceworld 2000 Zelda, Mario 128, Mario Kart and SSB:M it would have made a massive difference in 2001. In 2016 or 17 it would still help, but it wont it wont be enough to propel it for long (because after the initial blitz they dont have the 3rd party support to compete, and even if it does much better than anyone could predict it would take years for 3rd parties to finally drop big titles on it).

Its possible they could find lightning in a bottle again like they did with the Wii, I just find the scenario in the OP more likely.

At best it will see GameCube like success, and with Nintendo already showing they are willing to find profit on other platforms (Mobile devices), I think they will look to find profit on other consoles.

Maybe. Maybe not. I think NX is not a singular hardware device anyway, it's going to be a line of hardware that's supported by a singular software ecosystem (like iOS is to iPhone, iPad, iPod Touch).

How a handheld will pull all that? Oo

The NX may well be Nintendo's Dreamcast if they insist on making Wii U their Saturn. They need to see it through to 2017, and dish out some fan service (F-Zero, Metroid) before they throw in the towel. Deluxe ports of all the late Wii U titles onto NX is to be expected, as long as they don't pull a Twilight Princess on us.

When NX launches PS4 will be $299 / $249. Plus its library will be rich. I agree with OP. They have huge competition ahead. Nintendo isn't seeing the changing environment.

Irrational knee-jark reactions? Clickbait articles and threads? Wild predictions? Over-the-top hype? Over-the-top pessimism? Yep, this is E3 alright. Now I remember why I used to not look forward to this so much...

I was referring to this thread's premise :P. 

But I think most predictions are ahead of themselves.  And of course,E3 sends all the madness into overdrive across the net.  That's what I was referring to.

By the time NX comes out the transformation to toy manufacturer will be completed. No more hassle with stupid non selling consoles or vidya gaemz.

The Wii U will have had 5 years of shelf life and Zelda will come out for the Wii U.

What "facts" do you have to counter my OP?

How is having your own console helping profits at this point? Having your own console makes you money when 3rd parties are selling games on it(where it stands now 3rd parties sell almost nothing on the WiiU) , you rake in the royalties, also when you have subscription services that are successful like XBL and PS+. And obviously you dont have to pay royalties to yourself.

I am sure if Nintendo went third party they could get a really sweet deal on royalies from MS or Sony for exclusivity, and with selling their games on such a huge user base would surely net them more profit.

Going console 3rd party would not prevent them from being successful in the handheld realm.