I'm going to say this has been officially retconned. Nintendo Japan always seemed to think this wasn't the case, but Rare always stuck by it. But I don't think it was referenced at all in DKCR. Too bad.
"[Our former customers] are unable to find software which they WANT to play."
"The way to solve this problem lies in how to communicate what kind of games [they CAN play]."
Satoru Iwata, Nintendo President. Only slightly paraphrased.







