Let’s be honest—2013 and 2014 haven’t been the kindest couple of years to Nintendo, the former console giant currently relegated to the role of little brother in the modern console wars between Sony and Microsoft. Between developers taking potshots at the company’s most recent console—the Wii U—and their latest fiscal results citing nearly a half-billion dollars in losses due largely to poor Wii U sales, Nintendo has had a rough go of it, resulting in an inevitable slew of speculation questioning their hardware’s viability in the modern market. There are certainly some mitigating factors to consider, but it’s clear that the company’s current path may lead to treacherous waters. So what does the future hold for Nintendo? Will they continue with hardware development? Can they absorb their current losses? CEO Satoru Iwata shed some light on these questions in an Investor Q&A this week.