There is no way they sell to Apple and there is no way they just abandon the WiiU after 1 year. Every single time Nintendo doesn't knock it out of the park with something people are predicting doom and gloom for the company - this has been going on for 20+ years. They have a TON of money and the best IP in the business - and they are stubborn. It's just not going to happen. If the WiiU isn't a huge success I don't think they care as long as they are making a profit (which they will eventually). Plus, the 3DS is killing it.
We may get the next system in 2017 instead of 2018 but that's as far as they will go given their history.
NES 1983, (huge success; 7 years)
SNES 1990 (huge success; 6 years)
N64 1996 (meh; 5 years)
Gamecube 2001 (meh; 5 years)
Wii 2006 (huge success; 6 years)
WiiU 2012 (???)
I honestly believe it is the stupid name that is killing them this time. Maybe they should just rebrand it?
I'm not sure why you think there is "no way they sell to Apple" when Nintendo is a business. If the business is in trouble the investors will demand that they look for ways to unlock the company's value. Keep in mind that if enough investors demand it, they can force a vote on almost anything. Also, Apple has all the money.
On to your next comment, where's the Virtual Boy? Did you read the Iwata quotes? They're clearly considering abandoning the platform if it's a failure. This has been discussed a lot in the last year but keep in mind Nintendo is a business.
- Nintendo's corporate culture does not like taking losses and the Wii U is bringing down the company's profitability.
- Every Wii U sold is sold at a loss.
- The Wii U is selling extremely poorly.
- Nintendo was woefully unprepared for HD games and has delayed almost everything.
- Delayed games mean higher development costs.
- Higher development costs mean more games must be sold to break even.
- 3rd party devs need around 2 million games to break even and I estimated (in the past) that Nintendo would need around 1.5 million.
- Not enough 3rd party developers are selling games on the Wii to give them cash flow from games they didn't invest in.
In other words, if they sell more consoles, they take greater losses on the hardware but eventually can sell more of their games. If they sell less consoles they take less losses on the hardware but can't sell enough games to break even on development cost. At this point in time, it seems like they're selling just enough Wii U's to

up their earnings but not enough to drive software sales. Combine that with the fact that the console had a negative total sales number in Europe and how is this possibly a viable console?
They really needed to come out of the gate swinging with a bunch of big titles. I don't think Mario this holiday is going to save the Wii U.
One last thing, Iwata should go back to making Mario games and let someone else run the company. Only an incompetent CEO does some of the shit he's done recently. Notable is the announcement of the price drop so far out from the actual price cut itself. Second, this current statement where he's admitted that Nintendo may drop the Wii U if it doesn't perform well this holiday season. Who the hell's going to buy it now instead of waiting to see if they keep it? If anything, it's going to push people away from it. There's a reason that this kind of information is usually attained from leaks and rumors in most companies - because making it public knowledge is like shooting yourself in the foot.