the death of miyamoto

The PS2's software share is declining anyway so it would just accellerate that process and many of the people still using that platform will then look to upgrade. But for the short term software would still be released and sold on the platform.

The PSP is so far behind the DS that it could drop out and 80% of developers would simply carry on doing what they were always doing on the DS.

The PS3 at 17M (Western market penetration) constitutes about 40% of the total market for HD consoles. Within the short term until the end of the year games would still be released on the platform, meaning third parties wouldn't really lose money at all and longer term the Xbox 360, PC and Wii platforms would pick up the active PS3 userbase and general growth would make those 17M consoles look insignificant in a short order.

Well okay, I guess that will help me sleep easier tonight.

The worst case that can happen to the Industry is that everything stays the same it has the last 3 years. Third Parties shunning the system in the lead because the company that made it use to be the underdog. And blindly making games for another system. Despite mediocre sales for that game when compared to their sales from last generation or what they could achieve on the other system with the same amount of effort.

Over time, this is what will damage the game industry the most. Not 'Nintendos casual games'. Not 'PS3 failing'. Not 'The Economy'. But this.

Keep making crap fps and even the mindless clods that play them will get sick of the genre and move onto another hobby, like going outside.

"What's the worst case that can happen to game industry?" Its called the wii.

Were talking about the future dummy 

The worst possibility is when companies do not respond to market desires and try to tell the market what it wants, or to rest on the laurels of previous accomplishment.

We have seen this in great video game crash before. Also just look to the auto industry where the big 3 crammed crappy cars down the throats of consumers in the 80s forcing them to the Japanese brands.

We have seen arrogance hamstring Nintendo in the N64 Gamecube era, but they have luckily innovated out of it.

Sony is now facing billions in losses because they assumed they would be king and everyone would eat up Blu-Ray PS3 for ten years because they said so.

The 360 is not currently suffering from this but they need to be careful, Microsoft is certainly guilty of that in other areas. They are surviving on a stable of sequels with very limited success with new franchises and outside their core demographic. $7 Billion in losses means they are spending a ton of money not giving the market what it wants. (this is bad for all of us no matter what anyone thinks)

So I say the worst thing for the market is for Nintendo to get arrogant from the Wii. Imagine a Wii2 with 2GB internal storage, barely 720P, crappy online support, with dolby surround sound. Those weaknesses in the Wii everyone overlooked can't be weak again. And imagine they piss on the 3rd parties again for the Wii2 and assume that the Nintendo standards they everyone has on their shelf again will somehow carry them.

Also Sony could try and push a system based on hardware alone, instead of the games and charge $600. Oh wait they did that.

Then if MS dropped a couple billion on next XBox featuring Madden, Halo, Gears, and Call of Duty. Or if they left out the disc drive and made games download only to piss on all the retailers who are supposed to push the system.