Nintendo does not sell hardware at a loss and, IIRC, has done so since the Wii. It was a huge deal back when they said they were going to make a profit off the hardware. Given how abysmally the Wii U did, I’m struggling to find coverage of that from 15yr ago that I only vaguely remember. However, that’s been a major point from Nintendo since the Wii, so it’s ridiculous that Epic wouldn’t know that and is clearly just an attack on Google (please don’t read that as me supporting Google or Epic).
They usually start out selling for a loss, but Sony reduces costs and scales production so they're usually profitable (or at least even) after a couple of years. As far as I can tell the PS3 took the longest, releasing in 2006 and not breaking even until 2010, still 3 years before the PS4 launched.
The difference is that Nintendo and others always marketed their device as a "gaming console", aka a limited functionality device.
Apple, on the other hand, sold their devices as a type of computer. "There's an app for that" and "What's a PC?" ads killed their hopes of claiming that their devices were supposed to be of limited use and functionality like gaming consoles.
Personally, I don't think that selling hardware at a loss is a good excuse to be anticompetitive with the software. I don't understand how it (and any other kind of loss leading sales tactics) doesn't trigger anti-trust laws.