etking on 14 June 2014
Disk space was not the biggest problem thanks to compression, Starcraft 64 and Resident Evil 2 N64 prove that even pre-rendered backgrounds and full motion video was possible on the N64.
The biggest problem was production costs, CDs were cheap to produce and you didn't need to invest millions of dollars to produce a game without knowing if it will be a success or not. N64 cartridges were highly expensive and a major risk on the other hand. If the game didn't sell too well the developer / publisher would have made a much bigger loss and much larger sales numbers were needed in order to be profitable.
With games like Final Fantasy 64 and Dragon Quest 64, on the SNES CD drive made by Sony, the Playstation would not have come to existence.
