Third Party support, the builder or destroyer...

As we all know, Nintendo monopolized the third-party game developers in
its first two systems, the NES and the SNES. They promptly left Ninty
for Sony because Sony offered much lower prices for publishing games
mostly because Nintendo stuck to cartridges on the N64(according to
wikipedia, it took $35 to manufacture one N64 game and only 25 cents to
manufacture a Sony game). This delivered a powerful blow to Nintendo
and suddenly and unexpectedly they fell short in the GCN with lingering
signs of 3rd party failure while a whole new opponent, Microsoft Xbox,
stole Rare from the big N, arguably Nintendo's strongest remaining
footing in third party support. While Nintendo learned from its
mistakes and changed to discs, it still didn't get as good feedback
EVEN THOUGH the PS2 was much weaker in tech specs (If you don't know,
the PS2 is a piece of junk speaking in the hardware as in parts and the
poor construction, note the construction is better in the slimmer
edition of the PS2). Now, Sony is seen in much a worse light, even
though the mainstream gamer doesn't really give a care about the tech
specs, Sony turned to technology to save them and then raising the
price and making it much less appealing to the main stream gamer, it's
main consumer. Now, to the good part, Nintendo now has given dev kits
requiring much less work and money for the Wii and are much cheaper
than the PS3. Though Sony still guarantees large third party support,
it will probably lose it in the upcoming gen. And it even seems that
Microsoft and Nintendo have come to a temporary truce to muster against
Sony and knock them out of the equation by saying that you can buy a
Wii and a 360 for the same price of a PS3, therefore creating the term
and website, wii60. Though some of my friends say they want a PSWii60,
most of PS3's market will be lost once the mainstream gamers realize
that Microsoft and Nintendo are the most reasonable for main stream
gamers financially. The news keeps on getting worse and worse for Sony.
Even though Sony may continue to the eigth generation, it will probably
be third like Nintendo is now. Then it is time for Nintendo and
Microsoft to battle, I don't even want to imagine that. Please post
what you think will ultimately happen in the following generations of
gaming, will Nintendo reclaim its ancient throne, or will it be thrown
into the dust again?