Like everything it has its postives and negatives. While it gives Developers more upfront money to make bigger projects it also creates a standard which is ultimately defeatist to all parties involved down the road and doesn't necessaraly return the money to the degree that might have been hoped. Instead of new, refreshing or innovative games, Developers are payed big bucks to keep recycling the same old tried and true formulas and in order to keep the franchise as successful as it was less risks are ultimately taken and the games start to look more and more alike. Like a muscle, when not used, the Developers ability to be creative, adapt to innovation or compete realistically in the market atrophies. This generation is the perfect examples of third party developers panicking when the sure fire console they were banking on (Playstation) isn't the industry leader anymore. Now that they can't make the same kind of money back off of projects put on expensive HD consoles, third party developers expect to make the bulk of their profit off of the incentives payed to them by companies like Sony and MS to develop for their console. The problem is this doesn't work out for all games or all developers leaving the bulk of the industry in financial distress and MS and Sony in a perpetual cycle of money loss/mediocre gains.
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