I seriously fail to see why third parties continue to support platforms that cause them to lose money and even go bankrupt, but then I realize why, and I understand Nintendo's viewpoint.
The gamer population may be bigger now than it was back around the GameCube, but the reason high budget games don't make profit is because gaming is STILL a niche market- and in order to support this concept that it is widely accessible and an integral part of home entertainment, the big three have marketed their consoles as 'entertainment devices' rather than gaming consoles. That's the only way they'll survive in the market- as augmented home entertainment devices.
Gamers in general, and even members of this board, feel that they are entitled to great experiences and high-budget games, but this mindset is directly opposite to the sort of market that the gaming industry needs in order to thrive. Well, maybe not the 'great experiences' thing, but certainly the high budget stuff. This 'PS4 is a high end PC' bullshit is exactly what it sounds like- fluff. Marketing mumbo jumbo. All of the next-gen console are no great leap in comparison to the last generation. This is because the last generation was stupid and unproductive for just about everyone.
The truth is, Nintendo just has the biggest battle to fight, since they screwed themselves over the most last generation. The reason the Wii U isn't selling is because Nintendo hasn't marketed it well at all, and the way they need to market it as a core audience machine- because the casual sell is a great way to make money but it ultimately proves futile in the long run.
Third parties aren't developing for Wii U because they're busy blowing their load on the other next-gen consoles- but when they don't sell either, they'll return once Nintendo has a stronger install base- which it will, because it's six months ahea of everyone else. Nintendo needs Bayonetta, X, and other mature IPs to push their system- that's what they need to push to prove they have a core console- fortunately, they have a device that can help them get back in touch with the core- Miiverse. If they see what their user base wants, maybe they'll get the friggin' message and understand what they need to sell a core console. That's their goal- even if the Wii U sells modestly, they'll have ideas of what they need to develop and push. Because if they continue to push high-budget development like Sony and Microsoft did, they'll screw themselves over just like they did.
What they need to do is push mature titles and promote their close relationship with the consumer- Miiverse, Nintendo Directs, the like. That is the point- they are in touch with the small group of people that call themselves gamers, because that's the group who will consistently buy consoles and boycott ridiculous ideas like the xBox One. Okay, I'm done.