Nintendo's Animation Domination: A Collaborative TL

Inspired by @Shronkey2021's collaborative alternate timeline forums, I figured that I should come up with one, and this one is done with Nintendo, animations, and more.

1986: After the sudden success of Super Mario Bros.: The Great Mission to Rescue Princess Peach, this led to Nintendo deciding to not give animation or movie rights for Americans (yay, we avoid that terrible movie!), but allowing some Japanese company make a Super Mario animation series.
 
1986: Disney and Warner Brothers both send out feelers to Nintendo and Shochiku for a possible localization deal for the "sleeper hit" Super Mario movie.
 
What happens so far in 1986
Here's what happened in 1986.

After the sudden success of Super Mario Bros.: The Great Mission to Rescue Princess Peach, this led to Nintendo deciding to not give animation or movie rights for Americans (yay, we avoid that terrible movie!), but allowing some Japanese company make a Super Mario animation series. Toei expresses interest in Nintendo's offer, and negotiates for the rights. Disney and Warner Brothers both send out feelers to Nintendo and Shochiku for a possible localization deal for the "sleeper hit" Super Mario movie. Seeing the success of the Mario movie, SEGA begins plans for an Alex Kidd movie.

Now, any ideas on what happens in 1987?
 
1987: Toei and Nintendo agree to make a one Mario movie. While the movie won’t be following the same continuity as The great mission to rescue Princess Peach, It will follow Mario and Luigi and there adventure to stop the evil Koopa King, Bowser from marring Princess Peach. Should the movie succeed, Nintendo and Toei will continue discussions on possible future works.

Meanwhile, Sega enters talks with Disney and Warner Bros. over the rights of Alex Kidd.
 
1987: Toei and Nintendo agree to make a one Mario movie. While the movie won’t be following the same continuity as The great mission to rescue Princess Peach, It will follow Mario and Luigi and there adventure to stop the evil Koopa King, Bowser from marring Princess Peach. Should the movie succeed, Nintendo and Toei will continue discussions on possible future works.

Meanwhile, Sega enters talks with Disney and Warner Bros. over the rights of Alex Kidd.
These already happen in the 1986 part.
 
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