Thers is one thing I can't wrap my head around. Two and three generations ago, nintendo had the most powerful hardware (N64) or arguably the most competent hardware (GC) and still managed to make money. This was before the huges succes with Wii and DS. Why does it seems like the general opinion is that Nintendo can't afford to make a console that rivals PS4/720? Has hardware development costs risen that much? Are the tech guys at Nintendo simply incompetent? Do they try too hard to cram in their system in a small box??
In order to make a console that would reach the heights that the competition's does, Nintendo would have to either charge a high price for their console, or they would have to take a significant loss on each console sold.. and Nintendo doesn't seem to like either option.
That, and Sony and Microsoft aren't gaming-centric companies. Especially in Microsoft's case (lesser Sony lately), these two megacompanies can absorb gaming-related losses with profits from their non-gaming divisions. Nintendo has no such luxury - they have no other divisions ready at the side to bail them out if they slip. I won't mince words: Microsoft can essentially
buy its positon in the gaming industry, whereas Nintendo has to
earn their position. Sony, meanwhile, demonstrated with the PS3 why losses on each unit sold can hurt in dramatic fashion; had it been Nintendo taking those kinds of losses, they'd be in deep Birdo doo-doo.
It should also be noted: back when Nintendo was more "on par" with the competiton (har har), its competition was another gaming company that also didn't have the luxury of buying its way into the industry. The death of Sega's role in the hardware industry serves as a reminder of how high the stakes are, and lingers in the back of everyone's mind, a powerful memory.
Either way, Nintendo arrives at Technological Level X at some point in time.. but they wait until it's less risky. I'm willing to wait the extra five years or so to get to that level, and I find it hysterical that graphics that were "excellent" just a few years ago are regarded as "crap" just because something better comes out. It strikes me as petty dick-measuring more than anything else.. unless these folks were on the sidelines of gaming, saying to themelves, "oh.. look at those 360-level graphics! Original Xbox graphics were crap, so I didn't play any video games back then, but
now I finally feel like graphics are good enough to start my gaming hobby!"
I know that it sounds glib, but I say this in all seriousness: if someone is truly convinced that graphics and power are so incredibly important, they'd be on a PC, excuses be damned.
I don't mind them following this conservative business model, as it means that they are much more likely to be around well into the future. If 30 years goes by and I'm retired and still playing Nintendo games because they played it safe, I'll be thankful for Nintendo giving me a lifetime of those consistently excellent, memorable games.
File it under "silly fanman logic," that's fine. Those are my humble thoughts on the matter.