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Actually, Nintendo owned 49% stock in Rare, but did not sell that stock to MS. They just sold it, who knows why. Then MS came in and bought Rare for $375 mil. Nintendo didn't really make any money from the deal. All they did was lose a AAA developer. Games like Kameo and PD0, while not as good as previous Rare games, still could've helped Nintendo during the GC era.

Think about it, the Wii could be getting more games like Banjo 3 to make up for the shovelware that will inevitably plague the console like it plagues the ps2.