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PAL is a way bigger territory than Japan for home consoles. Not so with handhelds anymore thanks to the DS. But check last gen console sales. Japan isn't even close to PAL.



"[Our former customers] are unable to find software which they WANT to play."
"The way to solve this problem lies in how to communicate what kind of games [they CAN play]."

Satoru Iwata, Nintendo President. Only slightly paraphrased.