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It really depends how much Japanese buyers are willing to sacrifice in terms of portability. Sure here in the West it isn't that big of a deal but over there they care about the smallest form with the easiest access possible, hell they were already moving away from the DS family. Nintendo handhelds generally sell better worldwide but the support of the Japanese audience is key.

Did anyone ever think about the fact that third party support from third party companies who worked on the DS is actually EXTREMELY questionable? Part of what made the 3DS appealing to developers is that they could make games with smaller development costs and exploit what Japanese handheld market there was left while also giving the product to the west. I mean...have you ever played Monster Hunter? Generations is just an omage of past levels with some new features. And ya, Monster Hunter will probably come to Switch. And ya, its better for the gamers to get one complete package instead of multiple reworked games. But how will companies that rely on that be treated on a home console, or, at best, a handheld with home console standards.

And why would smaller exclusives like Layton or Pheonix Wright stay with Switch when they dont require that power or fit in that line up. The best thing I can think of - Nintendo heavily advertising smaller titles on eshop. But even that has problems.