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... hold on... We're STILL throwing around the "Nintendo wasn't getting with the times argument" for the N64 era???
How many times do we have to go over the deal between Nintendo and Sony to keep people from twisting history? The only "times" Nintendo didn't get with were business strategies. Tech wise, they COULD NOT go the CD route BECAUSE their deal with Sony went awry. Whether you blame Nintendo or Sony on that front - fact of the matter is: Nintendo didn't "get with the times", because legally (and financially within a time limit: patenting a new disc system and setting up production) they COULDN'T.
You can argue business philosophy for the N64 - PlayStation years... But tech? That's a poor one to have because of the business.