That list is missing several PS3 games.

Think of smaller niche developers, PS3 got well over 100 games from Japan in 2009.

Oops double post.

I went with the same amount of niche on the PS4.

Nah, they'll be around as long as Nintendo and PlayStation remain in the industry. And that pretty much means they're not going anywhere anytime soon.

Long live to Mario, Pac-Man, Street Fighter, Tekken, Zelda, Pokemon, Final Fantasy, Dragon Quest, etc.

I think yes they will stand tall when it comes to developing games.

I agree with yesty

Guys, Im saying Japanese games that don't appeal to westerns. Games like GT, MGS, Tomb Raider appeal to us. Im talking about games like dragon quest that might not even release in N.A..

Your friend is correct, but one mistake.

There are more part in the world then Western.

The game market world leader South Koreans are slowly moving toward console and PC-steam market from mobile and MMOs.

Chinese wants their consoles too.

That said, when I say 'World Leader' I'm talking about every single policy you dislike about modern gaming except Disk Locked Content. Which was pioneered by Nintendo. (And promptly abandoned soon after.)

Cool, that doesn't match the topic of this thread ... 

Why not go make a thread about localization issues instead of posting in this one ?

Your friend is still right either way.

Because Japanese publisher and developers have IPs within their arsenal to survive and thrive off Japan alone, West alone, or Worldwide.
Dragon Quest may not be big or even get to North America. As long as it continues to do gangbustas in Japan and make profits, that's all Square Enix cares for, because they've got more money coming in than they do going out. That extra money they make back can then be used to fund and develop a Tomb Raider game that will sell very well in the West.

Final Fantasy & Pokemon are two of the biggest Japanese developed franchises in existence, and they both do in incredibly well in the West, Pokemon is even bigger in the West than it is in Japan.
Another one of the biggest Japenese game franchises is Monster Hunter, which is slowly but surely finding an audience here in the West. Animal Crossing, which sells huge numbers in Japan, does exceptionally well in the West.
Just because there's a franchise developed by a Japanese publisher that sells big numbers in Japan, but fails to match it in the West, doesn't mean that company is going down hill. They're called "Japanese" publishers and developers for a reason.
Call of Duty and Halo have never been huge in Japan, does that mean Activision or Microsoft Game Studios/343 Industries will die off? No.
Because those two franchises do such huge numbers in the West that they'll get by even without Japan.

You asked the question "Will Japanese based Game developers/publishers be here long?" The answer is yes. For reasons I and many others here just stated.
If you meant the specific IPs of the companies that don't do as good here, rather than the companies themselves, than you should've asked, "Will Japanese franchises that do bigger in Japan than in the West be here for very long?" Then you'd have an interesting question that can go either way depending on the company's actions and appeal of the IP.
But, as for the developers and publishers themselves leaving the West or going under? No way.