Not really even relatively speaking. Imagine a Wii-U like drop in marketshare with the NX on a percentage level. As soon as the next generation they will have become whole irrelevant on a market share perspective. It doesn't matter that that they didn't lose any money on the endevour. If they get relegated to OUYA level of marketshare after a few generations.
Actually I think they could sit at a Wii U-like install base no matter what hardware they put out, for a long time, considering how strong their IPs always have been and still are, and how highly-regarded their software is generally. Even if their hardware doesn't sell great, like the Wii U, the software does.
Not that they will, of course, nobody can be as short-sighted as Nintendo were with Wii U all the time. I'm not suggesting that Nintendo should accept such circumstances. They shouldn't and they won't. My point is simply another well-rehearsed iteration of the fact that Nintendo is not doomed, not even in danger, due to their absence of debt, substantial wealth, and franchises which still entertain in their millions. They know they fucked up. The dish is fine in theory. They just need a better recipe.
Essentially it's a tale of 2 strategies with PS3 vs Wii-U. The Wii-U's strategy was persevering profit on an underperforming device while PS3's was burning money on an underperforming product to keep up with the market leader. Now we'll have to watch how the NX goes to be sure but I feel Sony's strategy put them in better situation at PS4 launch then the Wii-U strategy would have.
Well, if we're still comparing losses, Sony's story is one of billions lost (and
owed), while Nintendo's story is one of millions lost (and billions
owned). To me the latter feels more like a success story. MS blew a giant wad on last gen like Sony did, but it's starting to feel like they don't really care as much about Xbox anymore.