• Nintendo has never been very successful going after the high-end market.

    This is 100% correct and worth emphasizing, since I think a lot of people don’t understand Nintendo’s history with this.

    They tried to aim for a more premium console with the N64 and the Gamecube, and the result was Sony ate their lunch. Then they came out with the Wii – widely derided for being underpowered and gimmicky – and it was a hugely popular financial success. Nintendo knows by now what works for them and what doesn’t.

    • They tried to aim for a more premium console with the N64 and the Gamecube, and the result was Sony ate their lunch.

      To be fair, they shot themselves in the foot by not using CD-ROM and regular DVDs respectively. The Nintendo 64 was a very anticipated piece of hardware, but they took too long to release it and then many companies jumped ship due to said lack of CD-ROM, how long they took and cheaper licensing too most likely.

      They never actually competed on equal terms thanks to Yamauchi’s stubbornness.