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I don't know really. I have alot of respect for Miyamoto, but his comment doesn't really change my opinion about nintendo. He says they haven't abandoned the core market, which is true in some respects, but they are clearly detaching themselves. Look at the Wii, while there are still games considered "core games" alot of nintendo's own in-house titles I would consider borderline.

Super Mario Galaxy:
Yes, awesome game. Yes, definitely a revival of a dead genre. But in all honesty, I consider this to be the most borderline of all of Nintendo's big releases thus far. Okay Mario was never about a gritty story or mature themes, my issue is difficulty. It's not hard to beat this game, it's not even hard to hit 100 stars, 120 it gets a little tougher but nothing like certain Mario 64 stars.

Mario kart Wii:
While mario kart has always been enjoyed by both core and casual alike, this one put me off with the change in the way drifting works. Drifting used to be mildly entertaining, and intensely satisfying when you raced other component players to see who could pull the best lap times with their drift skills. The dumming down of drifting (and the relative ease now) puts me off Mario kart Wii. Still a great game, but you can't question it's changed for the casual market.

Zelda:
You could say I'm being nitpicky with this one, but did anyone find this to be the easiest Zelda game they've played on a Nintendo home console in a while?

Metroid Prime:
Probably the only one that hasn't changed to suit the casual market, but I fear that the lack of sales will be attributed to the core gamer nature of the game (to nintendo that is) and will influence design decision for later games.

Still, I will continue to buy these games and enjoy them, I'm just stating that miyamoto might be deluding himself a bit, just a bit though.