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DonFerrari said:

I was thinking on the term that if they have multiples flops several good studios would go under, perhaps even if MS/Sony/Nintendo bought them out at that time there wouldn't be much to salvage.

If there's one thing in this industry I've noticed, is that if enough devs leave a studio and form a new one or follow one another, there is always something to be salvaged.

Look at what remaining half of Westwood did, they survived and still carry on as Petroglyph, and even they've had some flops in the past decade and are making a brand new RTS, a genre that's still not all that popular today. 



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