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Mr Khan said:

In Nintendo's case, though, it just really seems like they aren't big enough for their own market. I mean, it's not like Nintendo has studios that just sit around and twiddle their thumbs (except possibly Nintendo Software Technology), and if they're working at capacity and its insufficient, it means they need to expand, but as we've seen time and again in the game industry, while there are lots and lots of really talented individuals out there, forging them into an efficacious unit is hard, and there's nothing stopping the talent from walking out of a studio that you've bought out.

This is where it's good that they're doing things like having Namco make Smash Brothers. They get one of their tentpole titles out while not having to do all the work themselves, Namco gets a good payday out of it, and if all goes well, they've strengthened their relationship with a top publisher. Win/win/win.

They need to do more of that and generally become more of a publisher themselves, finding and backing interesting third party projects (like they've done with Platinum) instead of just pushing out their own titles. There's no doubting the quality of Nintendo's internally developed games, but to anyone who isn't taken with the relatively few IPs they like to focus on, they just seem to be a very navel-gazing bunch. NoA being the worst at this, by far.