Tons of people just like the convenience of consul gaming gaming, cost is generally lower then a PC, you do not need to try to decide on hardware, you do not run the risk of your video card not working correctly with a certain game
Since the games are released for the consul, in many cases they just work without having to downgrade/upgrade drivers or changing wierd settings in the game to make sure it works on your hardware configuration
The consuls themselves are not that profitable , sometimes they sell for a loss or barely break even, they make it up in selling games or subscriptions they take a cut in.