Microsoft didn't spend $3 billion on Rare, it spent $375 million. Also Rare was having problems well before Microsoft ever bought them. For example they were losing a lot of staff, especially important/experienced ones like David Doak (Free Radical Entertainment) who worked on Goldeneye 007 and Perfect Dark. These kinds of people were leaving Rare years before the Microsoft purchase.
It wouldn't have mattered if Nintendo owned them either because no matter how hands on Nintendo was (and I think people are giving them way too much credit when it comes to Rare) it's still the staff/developers at the company that have to make the game and if all the best people were leaving, some in the middle of development of the games, things would still suffer.
The reason Rare was so successful is because it was working it's employees to death with insane hours (even by videogame industry standards) and by running it's employees into the ground like that eventually it was going to catch up to them and it did.
As for Rare making a comeback it's last few games weren't bad, especially when considering the history of some of them and the turmoil the company was experiencing is now hopefully behind it. Lets wait and see how Banjo Kazooie 3 turns out.
As for those saying it should be on the Wii, I just don't get it. Most of them are the same people bashing the 360 for having too many shooters and now when there's a major first party game that isn't a shooter they say it shouldn't be on the 360?
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