Far from the right choice. Wii's underpowered hardware was the reason for it's long-term decline and unability to keep it's numbers against PS3/360. Motion controllers were an excellent idea, but Nintendo's decision to not improve it's hardware power and rely solely on the controller was a bad idea. It works as a short-term strategy, but as a long-term, it was terrible and had negative impact for the company as a whole. They're struggling to adapt themselves to HD development and thus delaying WiiU's games, which is hurting it's sales. They're unable to bring a proper online network and Nintendo decided to not support online and bet on local multiplayer. This local multiplayer focus might look good for some, but it's not the tendency followed by the worldwide market now.
And ponting hardware power as the reason for GCN's failure is an inaccurate vision of what actually happened. GCN had an image problem, it was viewed as kiddy, their flagship games had aesthetics which gave such impression (Wind Waker, Sunshine, Luigi's Mansion and Double Dash). Media storage size restrictions was another problem. 1.8GB mini-Disc against dual-layer DVDs from competition. I know Iwata's fanboys and defenders of his direction uses the GameCube failure as argument to defend Nintendo to keep it's underpowered hardware approach because they believe Nintendo can't compete in graphics against Sony and Microsoft, but this is bullshit, actually, persisting in this underpowered hardware for unique gameplay experiences is what'll make them to become uncompetitive more and more.
WiiU is not a good evidence to strenght this idea, either. It's relying on the gamepad to bring "unique experiences" on an inferior hardware in comparison to the competition. Even Nintendo is not sure about what they need to do to sell the thing and convince the world that the gamepad can provide superior gaming experiences. Wii could offer that, but the hardware limitation and the restricted-to-motion-controllers control didn't allowed third-parties to fully support Wii. Well, they could, but they didn't.
If Nintendo's management can react to what's going on to the market, they'll realize their "low-tech hardware for unique gameplay experience" is risky, can't convince everyone to support them and if it fails, like it's happening with WiiU, can seriously endanger them.