I'm probably months late on posting this thread but the idea of "Console Wars" which is a flawed concept to begin with, is over.

Xbox is going for a multiplatform strategy for many of its titles, and Phil Spencer said in 2024 that there is no red line for Microsoft titles on other platforms. The Gears remaster was day and date with PlayStation, and so is the upcoming Halo Remake.

PlayStation is embracing PC more and more but has not committed today and date yet for a lot of its titles like Xbox did a long time ago. And yes, PlayStation is even dipping their toes into multiplatform.

Nintendo went for the Blue Ocean strategy with their home consoles in particular way back in 2006 with Wii. And while it's not remotely the same as PC releases and such like others have done, Nintendo has embraced mobile gaming for small titles. You almost never saw Nintendo properties on anything other than Nintendo platforms or an arcade machine prior to mobile. But times are changing. While the odds of Nintendo putting their titles on PlayStation or Xbox one day are probably less than 1%, I think it's inevitable that Nintendo will put some games on PC eventually. Even if it's not until 2035 or later. 

So, to sum up.

Xbox: "This Is An Xbox", Multiplats

PlayStation: Embracing PC after initial launches of games and some multiplats.

Nintendo: Blue Ocean, Mobile

Let the age of "System Wars" begin...

Xbox is cooked, as the kids say, so I will 100% agree with that. But disqualifying Sony because they are putting exclusive ports on PC... I don't agree with that. There have been exclusive Playstation titles on PC since PS1, and it never meant anything to anyone other than having the chance to play PS exclusives on PC lol. And the Switch 2 is not blue ocean. It's red. Changing from home console maker to handheld-exclusive console maker with a dock... that doesn't make their ocean a different color. What makes your ocean a different color is the software you're releasing, and there is nothing unconventional about DKB or Metroid Prime 4. You will play those titles exactly as you played N64 titles, only on a handheld. So they are definitely still in the red.

This is about to become a Playstation vs. Nintendo industry again, titan verses titan. The console wars will rage on, albeit with probably a lot less rhetoric coming from Sony. Or not. You never know.

I believe Nintendo will release few free to pay games on mobile or PCs, as advertising to their consoles. Pokemon and Mario already did this strategy, Fire Emblem, Animal Crossing etc

But their console games will keep being exclusive for at least two more generations

The market is shrinking right now so this is fair decision by Mircrosoft. Competition does benefit the sector though, so hopefully Nintendo will continue to innovate.

No, I think the Sony vs Nintendo fight is only just (re)starting. And Valve is a factor too but I believe the consoles to be closer competitors.

Xbox may have crashed out, but PS and Nintendo are still in the race. While PS5 and Switch 2 may be different devices, they still compete for gamers' finite time and money.

the will be a 3rd player. whenever 1 steps out another steps in.
Let that player be Amazon or Apple (Google had their chance) Valve could be even the next big player depending on how its played.
Or it will just go as the is that many company's making Windows Xbox type devices it could even be that MS does win in the end.

The market isn't shrinking. It's not as simple as comparing handheld sales + home console sales from 7th gen with console and handheld sales from 9th gen. Multiple people owned both a DS and Wii because they needed it to play all Nintendo games. They now just own a Switch. Also one system sold doesn't = one customer. Systems are often family devices so a single system can harbour anywhere from 1 to 5 individual customers. So you can't just say DS sales were at 150 million and Wii sales were at 100 million therefore Nintendo lost 95 million customers since gen 7. 

The high-end console market is definitely shrinking but that's more of a result of stagnant corporations than lack of player interest. Sony and MS have both ported their games to PC which reduces interest in their consoles. Both have raised prices on their consoles, instead of cut prices. Historically  Xbox and Playstation consoles are half their launch price by now. 

Edit: Also with Nintendo handhelds like Gameboy Advance two or more kids would own a system. But with Switch and Switch 2 it's common for there just to be a shared household Switch by the TV. Dedicated handheld devices sold differently than home consoles. To just add them all up, without context, is Pachter level bean counting.