You know, it's funny, because Android isn't even that popular in Japan. iOS is easily king there, and that's where the vast majority of major devs (like Namco and SE) concentrate their games. And Japanese iOS revenue is far behind the US or even China, so that point is moot.

Also, how much of that revenue goes to actual the bigger videogame devs? The vast majority of that revenue goes to smaller, independent developers that wouldn't make a videogame on a console anyway.

So I assume you've never heard of Shadow of the Collosus or ICO or Gran Turismo or Gravity Rush.

And what about Legend of Dragoon, Rogue Galaxy, or White Knight Chronicles II, games that did well in Japan but haven't been expanded on?

And you completely misunderstood my Vita example. As a westerner, if the average gamer asks you whether the Vita has enough games and support from Sony to purchase one, you would most likely say no. Most people do. Why? Because, like I said, the majority of games on the Vita are small indies, AA games that Sony released at the very beginning, or Japanese niche titles. I personally love the Vita and own 2, but for the average western gamer there just isn't enough support.

Now, let's use the same example, but as a gamer in Japan who has the option of buying a PS4. There are literally no good Japanese games available for you, and all of Sony's moves, from delaying the release in Japan to neglecting any good launch exclusives, show that Sony isn't interested in catering to its own people. Kingdom Hearts III and Final Fantasy XV, the two most prominent Japanese games currently, are probably years away, bound to be delayed like every other game coming out now. What do you do? You don't buy a PS4, and go to a console which has good Japanese games, like the 3DS or the Vita. 

Big difference between where someone is from, and where someone has chosen to live.

And yet the Galaxy S4, S4, Tab 2 and so on are the highest selling phones here, and all other models such as Arrows, Xperia, Fujitsu (Disney mobile) and so on are all running Android, and have the largest share, at emobile, willcom, docomo, AU and softbank of the market over iOS. case in point, Apple devices are indeed popular here, but "king"? you're having a laugh.

But then again we circle back to the situation of the opinions of an outsider to the opinions of a resident.

Well, I apologise then for getting your nationality wrong. You saying you live in the UK in your profile isn't helping though.

And what in the world are you talking about? iPhone is EASILY the top selling phone in Japan. I respect that you are a resident and all, but it doesn't help your argument when you don't get that right.

http://bgr.com/2013/12/10/iphone-5s-5c-sales-japan/

And SE and Namco release almost exclusively on the iPhone, and those are easily the biggest phone devs, correct me if I'm wrong. 

clearly you dont understand the difference between platform penitration and unit sales.

if you sell 100 android samsungs, 100 android xperias and a 100 android fujitsu's you have 300 android users, but you only need to sell 101 iphones to be the best selling phone.

like i said, theres litterally hundreds of different, popular android phones on sale in phone stores here, compared to a handfull of iphones, what youre going to get is dilution of specific handset sales but a higher platform base.

and no,  while namco and SE are big companies,  in the mobile market theyre dwarfed by mobile specific companies such as line,  other companies such as gungho and similar hold a large portion of the game market here but line is the real breadwinner with a staggeringly astronomical number of users and players,  enough for people to port their games over to the line ecosystem because they know doing so greatly increases their app usage and microtransaction revenue. 

Some more links that contradict your statement of Android being on top in Japan-

http://www.phonearena.com/news/Apple-iPhone-5s-continues-to-be-the-top-selling-smartphone-in-Japan_id53923

http://www.minyanville.com/sectors/technology/articles/Apples-iPhones-Were-Top-7-Selling/1/13/2014/id/53341

And while app revenue is amazing in Japan (once again, the majority from iOS devices, even though Android is catching up in software, not hardware), how much of that revenue comes from games? A lot, if not the majority, comes from applications that aren't games, judging by the most popular apps.

what part of individual device sales being entirely different from platform bases do you not understand? 

It's hard to blame Sony for the lack of Japanese game, when about every Japanese 3rd party studio seems to have stopped making games for console. Sony will never compensate the lack of Japanese games from SE, Capcom, Konami, Sega, etc. They can't compensate the fall of sales in Japan, the population getting old, the lack of interest, and the rise of mobile games. And we can blame them for that, but it also a general trend for Japanese studio, their Team ICO, SCEJ are loosing badly to western studios. The team ICO can't even make one game for an entire generation.

As for smartphone application revenue, Japan is number one : http://blog.appannie.com/japan-spotlight-revenue-inflection-point/
And it's just for store app (iphone and android), it does not include the still very massive market for "social games" (web app) on mobage and gree platforms that you can access only from smartphone and Japanese phone (feature phone). And it does not include other platforms like Line.

Clearly you didn't read any of the articles.

Apple controls over 50% of the market right now, compared to the dilution of Android devices everywhere else. That's easily one of, if not the, biggest market share Apple has anywhere in the world. Thus, game developers release almost exlusively on Apple, at least the big ones do (you know, the ones that actually make the big revenue?). The game revenue on Android would be much smaller than that on Apple, by logical progression. 

Here is a link answering your question

http://venturebeat.com/2014/06/23/google-play-growing-growing-growing-downloads-up-1-5x-revenue-up-2-5x/

Some quotes:

"Games now generate 90 percent of Play revenue, and 98 percent of that revenue comes from freemium apps, according to a new report from mobile analytics company App Annie. Japan continues to lead all countries in pouring cash into Google’s coffers, App Annie’s data reveals."

Console gaming is dying and so is Handheld gaming in Japan. Releasing sequels to old IPs that only the Japanese Console buyers care about is pointless and stupid from a business sense.

It was like this in the West too just a couple of years ago. Give it a few years and the Android marketshare will surpase IOS in Japan as well.

Japan is biggest growing market in the Mobile marketplace generating more revenue in the Play store than even USA.