That's a really weird definition for failure. If someone is taking a marksmanship test, and doesn't hit a single target, we don't say he didn't fail because he avoided shooting himself in the head.
Success/failure are relative and we cannot judge without knowing the internal metrics these companies use. We can use indirect things like firings, deep discounting, historical precedent, etc. and try to surmise things I suppose. That gets messy and gets people worked up.
I choose to use the coarse metric of did the console have games and will there be a next console with games because the evidence is clear and certain. It's not really that strange.