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Soundwave said:
Pyro as Bill said:
"The X audience has disappeared"
People could easily have said this about Super Mario Bros or 2D fighting games after the SNES. It's bullshit.
Good games don't die unless the gameplay is upgraded or sidegraded. Eg Goldeneye - Halo - CoD - Fortnite. They just take a break.
I never played Wii Fit, Guitar Hero or Dance Dance Revolution but the idea that only 90s kids or naughty casuals can enjoy these games is silly. Same with the idea that "they've gone to smartphones". It's like saying the 30-40m Super Mario Bros fans are all playing Super Mario Run. The numbers might agree but reality doesn't.
New Super Mario Bros on Wii/DS outsold all other 2D mario's combined yet it was considered dead for nearly 2 decades.

When Mario Kart's sales dropped 80% between Wii and WiiU, did anyone claim the 'Mario Kart audience' has moved to mobiles?
Of course not because it's only the cazualz who are fickle even though 'they' were the only ones still playing Wii post 2010 (Just Dance).

Will a Wii Fit port sell 20M+ like the Mario Kart 8 port did? No probably not but that's because cazualz want new/improved just as much, if not more, than Mario Kart fans.

Re:Malstrom.
-NES and GB were port central. Handhelds always are. Wii wasn't short of 'PS2 waggle ports' either. He's right that Nintendo could be delivering Switch Fit/Sports now instead of 3-5yrs from now but what better way is there to make a new 'Switch Sports' than to test gameplay ideas through ARMS and Mario Tennis first. Other IPs improve through competition but Nintendo is in a unique position where no-one attempts to/can compete with them anymore so they have to compete with themselves.
-Kinect Adventures sold 25m. ~$3Billion in revenue. What's his point?

Super Mario Bros. is a pretty singular example, you're probably talking about the most famous video game series in history. You're can't use that as a barometer for everything and NSMB was inexplicably also the first new 2D Mario game actually starring Mario since 1992. So about 14 years in between. 

Most 2D platformers don't do massive business these days

Wii Fit U flopped just a few years back, Mario Kart 8 is the best selling game on the Wii U I believe by a large margin, it's just limited by a tiny userbase. Wii U sold about 13 million consoles and MK8 sold like 8.5 million copies, meaning the attach ratio there is insanely high. 

No small wonder if nobody makes them anymore out of the big companies except Nintendo. And just look how successful the indies are: Shovel Knight, Shantae (though that one has shades of Metroidvania as well) are pretty big sellers for indie titles.

Wii Fit U flopped since everybody thought the Wii U was just a tablet add-on of the Wii and way overpriced for that. Casuals continued to buy the Wii for their fitness instead. Iirc Wii Fit Plus still sold on par to Wii Fit U the year the latter got released, and the Wii was long dead already by that point.