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Torillian said:
long as they don't lose money overall on the venture I don't think there's a good reason not to, and I doubt they'd lose money overall. Having some kind of presence there also helps with getting Japanese games to the console outside of Japan as well.

This. 

You can't get Japanese publishers behind you if you're not in Japan yourself. The 360 did a lot better in Japan than the Xbox, and with a little creative marketing as well as a presence at TGS they can carve a niche in Japan. It definitely won't happen overnight but they are really wasting an opportunity.  They just need patience and moneyhatted exclusives/definitive multiplats.