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Even during the tough Wii U years, Nintendo has still been more profitable than Sony and is now back to being the richest company in Japan overall. They have been far from being an underdog even under the worst circumstances even when it feels that way. It would be interesting to see what Sony's response is. They already had their answer to the Switch in the Vita's remote play feature and that under-performed dramatically. There aren't too many good options for them it seems.