Missed this post.
What I envision is, two separate platforms. The home console will have decent innards (somewhat more powerful than Wii U) and the handheld will be its own system. I think it could be possible that they use very similar architectures (with the Wii U using more juice from a wall socket naturally). There should be a unified API shared among the two systems and while you develop the handheld game, there should be all kinds of hooks in the code to allow some nicer effects to run when the game is being played on the home console. This will take the game beyond just an "uprezzing" and allow you to immediately have a larger, more varied library for the home console, as its usually the system that suffers the most from droughts caused by heat waves evaporating all the water developers require to keep hydrated and develop games.
Yes the console will look alien compared to PS4 and XB1, but not so different from an Iphone 6 or whatever. Nintendo has already stated they don't like competing, well they are not going ot want to go head to head with the new HD twins. So there, that's an elegant way to
A. Come out with a weird as fuck system, which is what Nintendo loves to fucking do
B. Having it be cheap (that console shouldn't be more than $250)
C. Have a guaranteed line-up of decent looking games
D. Keep two SOMEWHAT separate revenue streams
You would still be making dedicated console games, which conceivably people would buy, but supplement them with dramatically better looking handheld games. Again, this shit has to be fucking cheap, it wouldn't work any other way.
I would buy that system. I don't have room in my pocket for anything other than my phone but dammit, I still want those Nintendo console AND handheld games...so what must I spend more to get the handheld.