A Nintendo action RPG, good idea or bad?

[Dusk]

I agree. I was thinking the same thing fairly recently and with the control scheme options it could be very very good. Since Diablo is so much point and click, the gamepad would work great, and for a second control scheme a Wii remote could be used. Part of what makes those games so great are the simplicity of control so that would need to translate over. These games are great for couch co-op, especially the likes of Gauntlet.
Yes, Nintendo should absolutely have one of their studios do this, probably intelligent systems since they have so much experience with games that use rts and rpg elements.