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If you look at the PS2+X-Box sales, and compare it to the 360+PS3 sales, the Sony/MS consoles are on track, other then Japan

So for the rest of the world, the HD market is not dying. MS has just taken market share from Sony. 3rd parties will be making games for them for a very long time. Don't worry about that.

As for Nintendo, they don't need 3rd parties to be successful. They are the biggest game manufacturer in the world (bigger then EA).