You have an interesting concept of doing well in the game hardware business.
1) You mention PS4/XB1 power levels which insinuates that you judge by how powerful they are. Yet you call N64 and GC failures even though they were much more powerful than their competitors (N64 vs PS) and/or the generational sales leader (N64 and GC vs PS and PS2, respectively). It wasn't until Nintendo decided to NOT be at technical parity/leadership with Wii that they actually blew away the competition. (psst - PS and PS2 were both the same as Wii, lower-powered but easily generational sales kings)
2) You mention Nintendo has failed since the SNES, yet Nintendo is the only one that had remained profitable in the gaming hardware business through all that time until WiiU. While all other competitors either never made money (actually I think MS is finally overall in the net profits again... maybe) or have barely made money due to many, many years in the red (sony).
3) You say WiiU was a horrible console and sales do support your statement. It was certainly only half-baked with no clear identity or software to sell that identity. Yet, it allowed an awesome concept (off-TV play), introduced Nintendo's future account system, introduced Splatoon, brought dual-analog controls to Nintendo, has a solid selection of 1st party games and is the last man standing with free online play.
Its not "horrible". It lacked implementation on its vision where NS has taken its best concept (off-tv play) and perfected it.
4) You ask why Nintendo has to be different than PS/XB. Why would another me-too console do well in the market? When Nintendo was doing this approach (N64 and GC) they continued to lose marketshare to Sony. This is a proven failure approach.
Nintendo simply is different. From software development to its hardware, Nintendo is always better when they focus on their own ideas and deliver when ready. Wii, DS, Pokemon Go, NES Classic all demonstrate that Nintendo has huge demand with the right ideas. NS is trending far more in that direction than WiiU.
- Its vision and promise is crystal clear and people are talking about it, those who were utterly confused about WiiU and had no interest... and that was all from one 3 minute video. What is going to happen when the software and other final features are shown in January?
- Nintendo brand is strong with ZeldaBotW, PokemonGo, PokemonS/M, NES Classic and SMR. Brand buzz is great. People are talking, excitedly, about Nintendo.
- Strong rumored price starting at $250. That is the same-ish as the lowest priced competitors but with actual exclusive games. Biggest failure I see with MSony is lack of exclusives. They share the same library for all intent and purpose. Sure PS has some 3rd party and both have their 1st, but these are not big sellers. Nintendo is the only one with big exclusives. Pokemon, Mario, Zelda, likely Monster Hunter, etc will all be on this one console.
- Power that allows porting. PS, PS2, Wii, every Nintendo portable, have all proven over and over again that power is not all that important. What is important is software. For PS, that has always been 3rd party primarily, especially when they had many 3rd party exclusives. For Nintendo that has primarily been 1st party. However, big 3rd party exclusives is a dead concept. Its too expensive and risky. So they make the game once on middle-ware and port to anything the middle-ware supports. Well, all of the middle-ware supports the NS and as long as the NS launch is solid, you'll see the biggest cash cows come to NS as well. Madden, FIFA, COD, Battlefield, etc, etc. All looking and playing more than good enough for mass consumers will be drawn to NS for its difference from the rest. Its great price, its fun 1st party and its ability to be a strong home console on-the-go.