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At the end of the day people would rather buy a Zelda game. This was just a non-family-friendly Zelda clone, and the sales were mediocre at best. It really doesn't help that the latest release, Darksiders II on the WiiU, only sold 50k copies worldwide.

Buying the studio would have meant financing and marketing the next game from virtually scratch, and it wasn't a big seller by its name alone. That's bad business, even if it's sad for the studio.