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All those people buying those 99cent games are tweens with their iphones to play durning lunch together, its the "cool thing" to do in school now, soon they grow a little older and will lust for a greater adventure/bigger challange - which is why the video game industry has been growing all these years nonstop.

What I do see as a current problem is the transition from last gen to this gen, the market reached saturation at the end of PS2 and xbox's life and now all the less glamorous companies are struggleing to make the profits they did back then, but in my opinion its mostly their fault. Demon's Souls and other games have proven that quality and creativity still sells in the gaming market.