Sorry bud but an owner with deep pockets that doesn't get involved in the running of the business is a dream scenario for any business.
You mean besides when Microsoft outright told Arkane to halt (cancel) the PS5 version of RedFall? And did the same to Bethesda for Starfield? And Phil Spencer himself demanding that all new Zenimax games be exclusive to Microsoft platforms going forward?
Protects Nintendo from a hostile takeover in perpetuity,
It's funny you say this when if anything Microsoft seem interested in destabilizing Nintendo over time by using other firms and companies to buy shares into them. Which was evidenced right in today's leaks.
allows it to take more risks and deepen innovation,
What innovations in game design have Microsoft's own studios taken since being acquired? What have they done since acquirement, that they simply never did prior?
keeps it business operations and strategy in full control of its management
The same management that saw MS fumble their 360 momentum transitioning to XBO? The same management that's seen Game Pass stall at 25 million for 3/4ths of an entire year? The same management that called their own 2022 "a disaster"?
You want Nintendo to get bought into
that?
and ensures it can continue to compete with two mega corps that don't rely solely on the videogames market for revenue.
Nintendo's been doing more than fine outselling Xbox Series since that system's came out, and are very competitive with PS5 sales even as PS5 supply finally started matching demand. They also make more profit in gaming per year than both Sony and Microsoft.
I'd say Nintendo's doing more than fine as-is.
Of course the risk is that the new ownership do get involved but an acquisition contract could be drawn up that protects Nintendo from all interference in the running of the business, in exchange for a fat dividend. (Other clauses on conditions for selling on the business would also be needed etc)
So what benefits do Microsoft owning Nintendo, give Nintendo, outside of their revenue and profits now filtering over to Microsoft? Which is basically what they have with Zenimax now, i.e limited integration. And which also doesn't actually benefit Nintendo at all.
Because all of the supposed benefits you just listed, would not happen, if only limited integration were the plan. Which reduces the acquisition to nothing other than MS fattening their own bank accounts and stock valuation.
So yes a very, very unlikely scenario indeed that rules out most technology firms but not impossible.
If it comes to Microsoft buying Nintendo, gaming really will be dead. It's like AT&T buying (pre-SW Sequel Trilogy/MCU Phase 4) Disney; disaster and failure is inevitable.