i think you may be taking the quote about lowering hardware/software costs out of context though. wasnt that statement a response to their strategy to break into the Chinese market?

No, I'm talking about this:

"The way in which dedicated video game systems and their software are sold has not changed significantly since the business model of dedicated video game platforms was first established 30 years ago. Dedicated video game systems are sold for two hundred or three hundred dollars, on which standalone software titles are distributed for 30 or 50 dollars. This simple model received widespread support from consumers that enabled us to create today’s market. The decision to change it is the manifestation of our recognition that we cannot expect this model to work forever amid dynamic changes in people’s lifestyles."

https://www.nintendo.co.jp/ir/en/library/events/140130/03.html

This is when Iwata first hinted at My Nintendo in March 2014. I'm scrutinizing this part because he mentioned both hardware and software costs, but then only went on to describe a software solution with what we now know as My Nintendo. I think there is going to be something for the hardware as well.

I hope Nintendo uses Polaris/14nm that would be cool.

That could just mean multiple different hardware models and conversely multiple different pricing tiers for software

NX Home Console - $300-$350

NX Portable Console - $200-$300

NX SCD Dock - $200 (?)

ok gotcha, ya im really curious how they plan to do it, like Soundwave said, maybe its just multiple form factors with various pricing options.

what are your thoughts on SCD now that you have looked into it a bit more?

It's clearly not that. All you did was add the SCD to what he said. The very next paragraph gives an example for the software side, and that example is literally My Nintendo. It's not referring to multiple hardware models at all. It's specifically talking about changing the increasingly antiquated pricing model, which your example literally does not do.

I still have about 10 minutes to go but, um, it's a lot to take in lol I'm not going to lie.

From what's being described, this is pretty monumental. At least, it will be if Nintendo actually implements it and can figure out how to sell it. I described the NX, from what I believe it to be, as revolutionary for consoles, but if Nintendo can sell even 10 million SDCs, this is world changing shit.

But I honestly don't see how they'd market something like this, because it's really just an at-home cloud server. It's really boring stuff for the average consumer, and there's no way they can sell it with the console. It'd be too expendive. This is silly, but it would have to look cool aesthetically, it would definitely need to be supported with My Nintendo, and I dunno it would need something else. Like why would a mom want this? I mean, I want this, but this is extremely expensive and boring tech for the layman.

If the cross compatability of the NX hardware devices are reletively dependant on this thing, that might be how they do it. Like if I'm a dad with three kids, I might buy a NX and three NXDS's, and then by the SCD as a way to unify them or something. I don't know. I'm just spitballing. This is really exciting stuff. But nerd exciting.

EDIT: The reason why I bring up that dependancy is because I've always speculated that the NX would depend heavily on the cloud because things like cross save/buy/play etc, but if they have something like this, so much of that stuff can be handled in an infinitely better way here. Like I never even considered them basically creating their own massive cloud farm. Just insane stuff.

well what if you had multiple console skus & multiple handheld skus?

NX Console-$250, between Wii U & XB1 specs

NX Portable-$200, Wii U level specs

NX Mini-$150, microconsole with Portable specs

NX Tablet-$300, bigger portable with Console Specs

NX Pro-$400, console thats between PS4 & PS4K.

that would give you a range between $150-400.

The SCD patent itself mentions it could work with numerous form factors by the way. It mentions everything from a static home console to "semi-mobile" consoles to portable consoles.

I've always said there could be 4 or even 5 different variants of the NX, rather than just 2, and Iwata directly said that also.

A "semi-mobile" portable console (maybe like a mini-gaming laptop) could come in 2017 for example, with a pocket handheld in 2018, etc. etc.

I think Nintendo should use Polaris ... the architecture is remarkably power efficient

https://www.youtube.com/watch?v=45muNhrrAUg

Looks like you could get 40 watts for the GPU alone + say 5-6 watts for the CPU ... that's not too much more power draw than the Wii U, and that can run a game like Star Wars Battlefront at 1080p/60 frames per second. 

Who knows with their own customizations, Nintendo could very well push that power draw down even further. 

its possible that the portable variant of NX might not be able to handle some of the more power demanding games that the console has and the SCD would allow it to play those games without the need of buying the console to play them. So lets say

NX Console-$299, similar power to XB1/PS4.

NX Portable-$199, similar power to Wii U

SCD-$99, can boost Console performance closer to XB1.5/PS4K & Portable performance closer to Console.