I think you're a little too quick to deem the cube unprofitable Johnny. I doubt Nintendo takes much of a loss on the hardware and the amount they lose is probably compensated by memory card sales alone. If you then consider how well Nintendo's first party titles sell and the large profit margins on first party titles compared to third party, I'd say the cube probably has been pretty profitable for Nintendo. It is a failure in the sense that it lost huge amount of marketshare to MS and has very poor third party support at this point in its life, but I doubt it actually didn't generate a profit.
Obviously Nintendo can't continue to lose marketshare and still be profitable, they need to fund R&D to stay competetive, so they still need to do something next gen. I doubt they will change their ways, but you never know.
Obviously Nintendo can't continue to lose marketshare and still be profitable, they need to fund R&D to stay competetive, so they still need to do something next gen. I doubt they will change their ways, but you never know.