Not so much a rumor as much as something I think Nintendo should do to save themselves.
Combine with some big software company. Agree for them to be second party, they get 10% of hardware sales, and keep 90% of the profits from software sold.
I mean, let's face it - the problem with Nintendo is that they can't keep developers. So let's just bond one to the console right from the get go and screw over Sony and Microsoft?
My company of choice? EA.
Second company of choice? Square-Enix.
Let them come in and meet ALL THEIR demands for the next generation system - royalties, media size, controller layout, everything. There's the saying that Miyamoto always designs the controller with only Mario in mind, so let's have EA come in and design it with Madden in mind instead.
Conclusion?
Nintendo wins.

Just a thought.