Originally Posted by
Master Splinter
This is the first time Nintendo will have suffered consecutive losses. Even when the Gamecube floundered, they still made healthy profits. They've royally messed up with the Wii U in a commercial sense though (the quality of their output across both systems is as high as ever). In the grand scheme of things, it should be no more than a blip, as they've always been a conservative company business-wise and have a lot of money to fall back on. They are nowhere near being in the position Sega was during the Dreamcast years. Anyone suggesting so is incredibly ignorant and has a wildly incorrect picture of the situation. Even a two minute Google search would tell you that. Sega were coming off numerous failures and strange business decisions and in reality never had more than one hardware success (Mega Drive). And while their software is still held in high regard, it never had the consistent commercial impact of Nintendo's back catalogue. If Nintendo have another three Wii U-like hardware disasters, there might be a genuine chance of them being in serious trouble many years down the line, but at the moment they'll continue to do what they've always done. They'll probably release some apps, but most will probably act as promotional tools rather than full Nintendo games.
Despite the initial success of the PS4, it's still Sony who are in a far more precarious situation. They're a huge company but are currently barely worth more than Nintendo who's only focus is games. Most of their departments are struggling and have been for years. Even in the days of the PS2 dominating, Nintendo made more profit and the PS3 was a money-sucking black hole. We know that the Vita is a flop which they don't seem to be supporting themselves, so if the PS4 struggles to make them money, they'll be in real trouble.
Microsoft only started making money from their games division in the latter years of the 360. But then again, they're basically a Citeh/Chelsea so could just pump trillions into the Xbox brand until it was installed in every home and Kinect was transplanted permanently into everyone's mind.