Nintendo responds to Xenoblade's localization efforts (along with Monolithsoft, Mistwalker)

[gumby_trucker]

^They're not afraid, they are probably too tied up with 3DS and Wii U, perhaps due to mismanagement. They know they could make a small profit on theses games, but they feel it would be a waste of human resources they currently need in order to face bigger challenges, like supporting 2 new consoles, and perhaps also building better ties with 3rd parties in America,

If anything, I'd say they are afraid of losing out next gen, and are putting all their strength behind starting it the best way they possibly can. They might call this 'being disruptive', and I'll hand it to them that cutting support to their products prematurely, and not releasing any games is certainly a disruptive move

They're essentially killing themselves before any competitor has the chance to, kind of like a Ninja committing Sepuku so his secrets aren't revealed to his enemy. It's a ballzy move as any other they have made, and I hope their audience makes them pay for it, but it's not an unprecedented one.

Think about Microsoft's release model for Windows up until XP: ship a product that over-promises and under-performs, so you can convince the audience that the flaws will be fixed in the next major release. It's no wonder people were unwilling to upgrade to Vista, they had no reason to since XP did everything it promised, and did it well. Peter Molyneux games also follow a similar pattern, as I'm sure many other products do.

I think this was a lesson learned back in the 40s-50s by the automotive industry: if your products are too successful and too well-made, it's detrimental to the company's bottom line in the long run... Such is the world we live in, apparently.