"Now the HD projects could still have worked, but many companies still mismanaged them and let the costs get out of control. Those that weren't mismanaged instead spent loads of time and money to make the games just to the point they wanted, and the sales weren't any higher than the last gen."
I give you the point that Nintendo made a lot of right obviously and if 3rd party devs are losing money its their fault but game sales are significantly higher then last gen. PS3 and Xbox360 sold almost as much as the PS2 or was it even more ? With a smaller userbase and in a much shorter time.
1 Million is nothing special, last gen it was something this gen its ok.
We had GTA last gen and GT but this gen we have several 10 Million+ sellers a lot of 5 Million sellers and 3 Million sellers. The sales are way better then last gen. Games with 350k are a failure (Lair).