Was Nintendo right to opt out of the graphics arms race?

[Leynos]

By the time 007 came to PS2 generation we had a bunch of 007 games. N64 had other 007 FPS outside of Goldeneye. Plus it was a post Halo world and the concept of consoles with good FPS games was no longer novel. PS2/Xbox is loaded with FPS games. Some from franchises you may not expect like Robotech. Remember Painkiller or Damnation? Got a lot of strange ones then Medal Of Honor and the first CoD. XIII and many many more. Nintendo tried their M rated FPS on Gamecube with Giest. 007 games were a dime a dozen by then. So was the genre.