Alright I'm not sure about you but I have noticed over the last generation that Nintendo has been closing out their investments in the west at an alarming rate.

It all started when Microsoft took over Rare, Nintendo had no choice but to sell their remaining shares and loose stake in the company. This was the start of Nintendo's free fall. Since Rare Nintendo has cut investments in other prominent studios like SiliconKnights and LeftField Productions. In total Nintendo has cut or lost three or four development studios in the west.

At the moment I only know of one Nintendo studio and that is Retro. Nintendo Canada has not a single developer despite being located right by Vancouver arguably the gaming capital of the world. With so many promising studios in Canada the US and even in the UK why hasn't Nintendo invested more in the West?

Should Nintendo start investing heavier in North America? How about europe I mean Kuju worked closely with Nintendo on BattalionWars why not aquire them?

Yes definetly. Basically, Nintendo has so many franchises that they could make 2 times more games and still make a profit on every one of them. Partnership with next level game is just a good example of high quality and good sales thanx to the west. Sadly, Japan is not the gaming center of the world anymore. Places like Canada have some really qualified people ang great business policies for videogame.

Why bother? Us whiteys don't know anything about making video games

Nintendo still owns stock in Silicon Knights, they just don't have an exclusivity deal with them anymore.

"You know Nintendo, who's still our silent partner, a lot of people don't know that, we have a great relationship with those guys." - Silicon Knights source

Nope! They should invest even more in japan!

Only exception is if they buy Rare back, that would be cool!
(what? let me dream...)

???

The Stamper Brothers sold 51% of Rare to Microsoft. With controlling shares Microsoft cancelled all of its Nintendo titles. Nintendo lost control of the company and ended up selling the remaining shares to Microsoft for an estimated 200-million dollars. In other words Nintendo had no choice but to sell its shares in Rare.

I thought Nintendo still had NST in the U.S.?

Even without that, they still have Retro and, to an extent, NextLevel Games in Canada (they developed the Wii Punch-Out!!). Nintendo doesn't really purchase smaller companies anymore, so I doubt they'll start doing that just to have more Western developers.

NST who's only work since 2006 has been Minis March Again.

I have an inborn bias against Western developers, so i would say no, but likely Nintendo would just do more partnerships like with Next Level Games or Monster Games.