I ignore Malstrom because he is crazy too. He thinks Miyamoto should retire because he thinks user generated content can be good. Of Course Malstrom is no different than you or I when it comes to analysis. At least Pachter gets paid for his analysis, and while he is wrong a lot of times, he doesn't act like a pompous ass saying the industry is doomed because they aren't following his every whim.
Nintendo is E for Everyone, which includes making games that Malstrom thinks are stupid. Nintendo has made games for the core, blue ocean, casual, grandma, kiddy, and hardcore markets. If there is a lack of games for a specific market it is not the fault of Nintendo, as Nintendo can only do so much per year, but the fault of the 3rd party companies who refuse to put the big bucks into a game and instead waste away making financial flops on the HD consoles and crying that their trash games didn't sell on the Wii.
EDIT: let me throw in there that Nintendo has been E for everyone since the stupid moves they made in the N64 days. They decided quality over quantity was the only way to go and strongarmed the publishers until Sony came in and said they could publish whatever they wanted for dirt cheap. Since then, Nintendo abandoned the model of only super high budget games, but Nintendo still builds top notch quality games for everyone.
