Im not a business man by any means, but I did have a thought about how Nintendo could compete in the console and online space.

If I could make a suggestion to Nintendo.

For their next console they should up the price of NSO to 60$. Just one tier for now. I would ask Sega, Capcom, Konami and Square-Enix to release their old games from the NES, SNES, N64, GB, GBC, GBA, Master System, Genesis and Arcade games(and more later) exclusively on NSO. I would give all four 5-10 dollars for each yearly subscriber and maybe like 1 dollar for each monthly subscriber. If NSO gets 10 million yearly, thats 50-100 million dollars for each company on a yearly basis. Now imagine it reaching 50+ million.

Now you have 4 of the biggest third party gaming companies in Japan with some of the biggest IPs in gaming history doing everything they can to make your console succeed. More ports from newer games, more exclusives and hundreds of some of the greatest games ever made. 

Now there are definitely things that I have no idea about and didnt think through, so I would like to hear what you guys think. Would this be a viable solution? Would Nintendo ever be willing to share that kind of money?

Since many of those games are already available on other platforms, most probably with contracts for more to come, I'm not sure if that's even legally feasible.

Also, giving the companies a flat rate without any specified commitment means they could just release a grand total of one game and reap the same rewards as a company who releases 20+ games through this scheme. There needs to be at least some tiered system based on the number of releases to make sure they'll release their games at all through the system.

Finally, it doesn't need to be exclusive. As long as it's only on NSO where you can access all of them without any other fee to pay, it would be fine. If you need to buy them separately (or part of a bundle) on other platforms while you can get them all included in NSO, there would already be enough added value to make NSO worthwhile.

Oh, and the price for NSO should be dependent on the number of supported platforms, if all those mentioned platforms are included then I'd say it could warrant a $40-$50 monthly price tag. If more getting added later (like Master System, Game Gear, Saturn, Dreamcast, Neo-Geo, PC Engine, Wii, maybe even DS if the system can output both at the handheld and TV simultaneously), then I think the $60 pricetag could be warranted, but otherwise without any other bonuses the price would be too high.

In a general sense, I think this is the direction Nintendo is heading. Anyone paying attention can see that they continue to add more to NSO every year. Therefore it will likely have an even greater focus on Nintendo's next console. So far, it has mostly been Nintendo games though with some Genesis games too. They could definitely add more to that.

As for pricing, I don't see why it couldn't be cheaper than Gamepass. Gamepass offers modern games. If NSO only offers retro games, then it should be possible for it to be cheaper than Gamepass, especially since Nintendo can provide a large chunk of that catalogue themselves.

The problem with that idea is that realistically adding Pokémon Gen 1-3 would bring in significantly more new subscribers than adding every single game from all those publishers on each of the listed systems. The mainstream appeal of third party games from that era is limited, even for the likes of Final Fantasy, the majority of people that really want to play those games already own them, possibly multiple times over.

Personally I would have liked to see see them partner up with Square and Konami to add some of their titles, but I can't see it being worth it for them if they have to pay all that much and I certainly can't see them paying per subscriber.

No, it makes no sense for anyone involved.

Nintendo-these retro games will not add enough value to justify the cost of paying for their exclusivity, people who aren’t currently Switch owners/NSO subscribers aren’t going to become so just for these games.

3rd parties-the amount Nintendo pays them would not only have to match but greatly exceed the amount these companies currently make from having them on PC, PS, XB, iOS, Android & Nintendo.

Gamers-this is a very anti-consumer idea and making 3rd party titles that are 20-40 years old exclusive to a single platform and subscription service is just going to make less people have access to these classics.

Well anti-consumer is MS buying up half the industry, but here we are. This is the time for action and thinking ahead. Nintendo could become THE place for retro games. I think Capcom, Konami, Sega and SE would make more money with this than on all other systems combined. They would all help each other out. 

There are SO many games that are just not available on modern systems from these companies.

Sure it would suck for PS and XB owners, but they could still get the bigger games like Mega Man, Castlevania, Final Fantasy and Sonic, but Nintendo would get their entire backlog. I think it would be huge for all 5 of them.

Way to make me feel like a living, breathing fossil... 

It's not a good investment for Nintendo, I would think.
Adding GameCube and Wii (plus missing titles right now like Pokemon Gen I-III) games would do far more for profits and PR than hundreds of 3rd-party games that are easily accessible on PC and other platforms.

To each their own but the place for retro gaming is Retroarch. I see no need to pay Nintendo for access to old games.

Well first of all, MS doing anti-consumer things does not mean we should advocate for the rest of the industry to follow suit.

Second of all, you think “thinking ahead” consists of paying for games from the 80s & 90s?

You think they would make more but why exactly? How much is Nintendo willing to spend on these games and how much do these companies currently make from these games? And how does Nintendo benefit from this? How many people who don’t already own a Switch and subscribe to NSO are going to do so for these games?

Bigger franchises like Mega Man, Final Fantasy, Castlevania & Mega Man can remain multiplatform? So you mean the retro games that people actually care about from these companies and the only exclusives are the niche games that nobody cares about anymore? That seems to completely destroy the entire premise and makes me think you didn’t put a whole lot of thought into this.