Yeah, this doesn't even tell the story of how much worse this gen is from previous gens. If you started adding the red ink at the major pubs (EA, Take-2, THQ all bleeding quarter-in and quarter-out... Not to mention Sony and often Microsoft), the shake-ups in Take-2's management... Will Wright leaving Maxis, even Nintendo having trouble with Retro...
Developers get eaten up and chewed out every single year, but right now 3 of the 5 big western pubs and 2 of the 3 console makers are having troubles. Basically the companies who were gobbling up developers and becoming known as gaming giants are now in danger of collapse themselves.
"[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.