Hell to the no!!
They may of faltered in the past few years, but they still show flickers of brilliance:
House of the dead overkill
Ghost Squad
Rez
Monkeyball (game-cube)
Yakuza
Aliens Vs Predator
Total War
Madworld
Valkyra Chronicles and the 'Mario and Sonic' games have sold bucket-loads
There's also a little game galled Bayonetta.
There's life in the old dog yet! Bring on the new Sonic game!!!
The dude abides