From what I am reading, this is not forced online cloud gaming nessesarly. My understanding:
Supplemental local computing for:
-Enhanced processing speed, graphics and storage and game saves.
Supplemental computing for online:
-Nintendo network, online play, save data back up, voice chat etc.
NX Console:
-Plays games, has it's own next gen AMD APU as rumored.
-Has your user profile which can be uploaded to Nintendo Network when online connected to the Supplemental Computing device.
NX Console/Handheld games will have portable mode and console mode, or all games can be designed with this option. Supplemental Computing Device will transfer your game data back and forth between both home and portable versions when you connect them.
Bam, there you have your console/mobile hybrid without the forced hybrid part.
Now I want to see this NX controller!