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Ail said:

Seems to me the only gaming companies that are having problems are those that put out really shitties games. Most of the gaming companies that produced decent games are doing fine...

 

 

I agree that really bad rushed games are sometimes the problem why certain developers/publishers find themselves losing money but the initial investment for a big AAA title is much larger on HD consoles than the Wii.  This'll hurt the smaller devs and some of the best ideas come from indy guys hungry to break out. 

XBLA and PSN games will help but if they want to make a more ambitious game that needs to be a full retail title they might struggle to get off the ground.