Ninetndo is doing just fine. Nintendo is aiming at a particular market. They own the parent who wants wholesome games market, they own the kid market easily, they got the multiplayer party game market shut down and the one market that no other console can ever touch. The old school nintendo kids.
I will buy every system they ever make, as long as they keep making marios, zeldas, starfoxes etc....
The GC is easily my favorite of the three. The PS2 is quality. The xbox just doesnt do it for me, but xbox live is fairly genius. I just dont care for any of their games.
Theyve apparently ditched the sports and fighting market totally. But when you actually see the new zelda in motion, you will understand why GC can never be called a failure.
Nintendo will never be on top for one reason and one reason alone. Its not viewed as the cool system to have. The cool system to have is the PS2, with the xbox in the shadows. To most people I know that dont play too many video games, PS2 is synonymous with video games. The same people dont even know what a gamecube is. If they do, they likely see it as the kiddie system.
Like previously said by many before, its all about marketing. Its not the physical image of the console thats the reason why its not on top, its the mental image.