Well here's an interesting article on what Capcom has to say about the upcoming Resident Evil 6:

http://spong.com/article/26633/Capcom-Resident-Evil-Wont-Go-Back-to-Survival-Horror

Hoping that the Resident Evil franchise will go back to its survival horror roots? Don't hold your breath - according to producer Masachita Kawata, the series might never return its Resident Evil 2 and 3 glory days. The reason? Survival horror simply doesn't sell anymore. It's all about action, baby.

"Especially for the North American market, I think the series needs to head in that [action-oriented] direction," he told Gamasutra. "[Resident Evil's primary games] need to be an extension of the changes made in Resident Evil 4 and Resident Evil 5."

Resident Evil: Revelations seemed to give long-time fans hope that the series might slowly transition back towards the atmospheric horror sequences that the franchise is best known for. Despite Resident Evil 5 polarising the fanbase, Kawata explained that Capcom will most likely head follow that game's action-heavy lead.

"RE4 started in that [action-based] direction, and RE5 kept going in that direction. And I think that especially for the North American market, we need to keep going in that direction, and take that a step further. And that’s exactly one of the reasons that Revelations is the way it is."

He added that, referencing marketing data research on Capcom's side, the market for survival horror games is small, and can't compete with the likes of Call of Duty. "A ‘survival horror’ Resident Evil doesn’t seem like it’d be able to sell those kind of numbers."

So there you go, just as Kojima said the other day that Japanese developers need to make more Western-esqe games, games that appeal to the western audience and not just some niche market. It seems Capcom is doing just that, but is this what long running Resident Evil fans want? I personally don't play RE, so I am interested to know the opinions of those who do.

The big industry have largely turned their back to old-school survival horror for a more action focused game.So yes, the market is small for survival horror in this gen.

It's not that it won't sell, it's that it wont' sell as well as the more action-focused games.

So long as they take at least some of the cues of Revelations, namely that atmosphere is important, as is a certain sense of helplessness. You can have something survival-ish without going light on the action. The new Tomb Raider sort of has the right idea on that (there are things that bother me about new Tomb Raider, but its heart is in the right place gameplay-wise)

The key would really be to take RE5/Revelations, but focus on spookier environments, enemies that require thinking on your feet, while greatly encouraging conservation of ammo.

From a business standpoint it makes sense. Based on Resident Evil 5's sales... They've all sold pretty well though.

I don't really like most of them. So I can't comment on it from a fan's perspective.

Using call of duty as some kind of benchmark is silly especially when it is used as rational for becoming more action orientated , following that logic resident evil might as well become a first person military shooter , anyway what I feel RE needs is a new interesting protagonist , as with most survival horror the first one if it's any good gets you in , then what tends to happen as  with   RE2 , you know what to expect so it becomes more of an action piece with horror themes ,something along the line of the differences between Alien and Aliens .

Agree with the well said responses in this thread. I also think they should keep the mainline series action if that's what they want, but if they are going to be releasing Resident Evil sidestory games, might as well try survival horror.

The original is still the best selling Resident Evil

Nope, if you combine the original, on saturn, PS, GC Remake you get like 6.6 million

If you combine Resident evil 5 360, and PS3 you get like 7.7 million.

VGC has no PC stats for either.

It's not 1996 anymore.