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I mean, even PSP with tons of piracy already has a 3rd party 5 million seller. GTA:LCS.

I don't if nintendo cares at all, but, this barrier for 3rd party in their console was what made the ps1 so atractive for 3rd party studios, and don't come saying that because they don't make good games. Look at Xbox x GC multiplataform, they performed much better in the Xbox 1 than in GC.