I don't think Capcom has lost it's stuff; so far they are the only non-Nintendo Japanese dev that seem to know what they're doing this generation. They've been making sales while Konami, Namco, SquareEnix still have their thumbs up their asses. They've always had their highs and lows, but they've been consistently delivering top games for two decades.
I do think that DMC4 is a half effort. The core gameplay is tops, but everything else reeks of laziness. Still the best hack and slash action game out this gen.
Dead Rising is still one of the standout games this generation, imo. Resident Evil 5 looks hot. It could very well equal or top RE4.
The news of a Bionic Commando remake (Rearmed) was one of the more exciting announcements this generation. When a "primitive" sidescroller is one of the most intriguing projects, maybe it's this generation that's lacking.
Clover only came into their own well into last generation. We're only 3 and 2 years into this one. Who knows what Capcom will come up with next year or the year after. They've produced major quality franchises every single console generation since the NES, and I see no reason why this will not continue.
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