They are in the right direction for what they intended,create a new parallel market of casual gamers(grannies,girls,soccer moms,jubilees,party games players) and have a great success there.If they keep throwing up their franchises (mario everyting ,zelda ,Fzero) they may keep somewhat interested their ancient fans too.
But as for the industry ,if we define ourselves as hardcore or core gamers ,I think whats happening is not very positive.Theres a definite risk that the third parties change sides to the Wii and start creating casual things for the machine and then we would find ourselves trapped in a quite dirty situation.And even if they create hardcore/core games they wont be far superior of what we have seen 2-3 and 4 years ago in graphics/sound/longevity/playability.And not being superior in these terms means the core/hardcore buyers wont buy into those while there are better things on the HD consoles or PC.
For the time being the third parties allegiance seems to be with technology and MS and Sony.They cant afford to fire half their staffs ,throw their investment in technology and top programmers just to start programming again in an aging hardware and just to squeeze out some 5% more out of it(lets face it ,the Cube-Wii hardware is pretty much learnt and nearly maximized by now).And they dont dare to defy Nintendo in the casual games department they seem to fully master right now.
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