That's going on the assumption that the folks who would buy it for X1/PS4 wouldn't be the same people who would buy the Nintendo system + the game. If that 8 million only became 9 million, it might not be worth it in the long run (assuming Nintendo is selling systems at a profit)
But yes, I get what you are saying.
I was thinking more along the lines of Nintendo ditching their hardware business altogether. In that case, you go from (example: right now) an install base of 12.3 million customers to 60+ million customers.
People point to Sega going 3rd party as some kind of "cautionary tale" and the reason Nintendo shouldn't do the same. Sega didn't flounder because they got out of the hardware business. Sega floundered because they scuttled studios, combined others and generally starting making some really crappy games. In fact, some of Sega's very best games IMO were released when they went 3rd party. Toejam & Earl III, Panzer Dragoon Orta, Crazy Taxi 3, Gunvalkyrie, Jet Set Radio Future, Sega GT 2002/Online, Virtua Fighter 4....Sega fired out of the gate with fantastic games and ports of the Dreamcast's best. Later, they just pretty much starting churning out crap.
Nintendo would only have to continue making quality games like they do now and not worry about the hardware side. They would instantly have
quintuple the audience, using today's installed base as a reference. They wouldn't lose any fans because people who can't live without Mario, Zelda and Pokémon (among others) are going to buy the system these games are on. They will also gain sales along the way from those people who would never buy a Nintendo system.
Look, what Nintendo has been doing for decades now is not working. They cannot dictate terms to 3rd parties like they did in the early days because these publishers just flock to Sony and Microsoft. Their stubborn refusal to change & adapt with the times has proven time & again, generation after generation that their business structure is unsustainable.
They finally cave after several years and release the Amiibo's. Nintendo stepped out of their comfort zone and tried something new.
THEY MADE A LOT OF MONEY!They finally release a real mobile game/app after years of refusing to budge on it.
THEY MADE A LOT OF MONEY!