I think all companies output will slow down as each generation comes out. Why? Because people expect all that fancy technology to be integrated perfectly.
"It needs to be 720p! Now 1080p! Now 4k! Now 8k!
It needs anti alising!
It needs 30fps! Now 45 for! Now 60fps!
The card should be unlocked!
It needs HDR!"
And of course all these companies are pressured to develop games to take advantage of all these "needs" before many will buy them. How many people won't buy a great game because of one, if not more of these issues? A ton. So developers have to take a lot longer and spend a lot more money to make them and they either can't and lose money from years or not releasing only to fold as a company or they do and their output is diminished. The future of the gaming industry is bleak because of many picky gamers that only will tolerate cutting edge.
Nintendo can get away with not including many of these elements. Even with their cash-cow IPs requiring larger budgets, and more staff and dev time compared to the past, Nintendo still usually plays it safe with the budget. They don't really care about pushing the limits of their hardware or graphical fidelity, as to them, games live or die by their gameplay and concepts alone. This is why Nintendo, even now, is able to put out so many games compared to most publishers, because they don't waste money on superficial stuff that will usually have no benefit to the experience, preferring to splurge only on what will make a better playing and better feeling product.