@Megadude
The Wii hasn't past 50% of marketshare but I'm fairly certain that the number of households with Wii systems is greater than the number of households that have a PS3 and/or an XBox 360 ...
Beyond that, even if they don't, why would anyone "with 2 braincells" be able to answer why companies are willing to go bankrupt rather than to produce decent games for 49% of the market when the development costs associated with that 49% of the market is 1/3 to 1/4 the development cost of the other 51% of the market?
Edit: As for the comment on Midway ... You don't need a "Hit" to be a profitable well run company. There are quite a few companies (Majesco for example) who have developed a business model where their development costs are low enough that they can survive off of very low sales.
