Actually Japan makes up 18% of the installed base according to VGChartz, but the point is still well-taken.

I have to say I'm a little surprised these guys aren't announcing anything for Nintendo - it's not as if their games are graphics-intensive, and Wii is clearly popular in Japan, but this is great news for Microsoft.

I don't know about their other games but Disgaea seems like a game in direct competion with Fire Emblem. They might prefer it being on the competition's console instead of geting overshadowed by the 1st party title of the same genre (which is pretty typical for Nintendo consoles).

couch - He was reffering to the Xbox 360's install base, not the install base of every system on average.

For the X360, the install base (percentage wise) is:

Japan: 4.1%
North America: 64.1%
Europe/Others: 31.7%

Umm 18% of 10.43 million is 1.8774 million...  VGChartz has .43 million listed which is 4.12%.  I said somewhere between 3-4% because North American sales are likely to pick up dramatically from the end of September until the end of of the year.

 I need to buy an xbox360 if it starts to get some good SRPG. I do hope that "the Arcade" thing was true thats for sure.

The funny thing is that I did think that microsoft was giving up on Japan. 

Well, they've probably seen their Xbox vs. X360 sales numbers, and realized that the consumers react to the Xbox 360 favorably if you can get alot of good RPGs on the console. Fortunately, RPGs are rather cheap to make with the right companies and assets, so it'd be easy to create alot of RPGs that are non-franchise (Eternal Sonata, Blue Dragon, ect) that would be very affordable to buy, while trying to aquire niche JRPGs that are guarenteed to atleast steal some userbase (Disgaea, Culdcept Saga).

 Sounds like a good idea, hopefully this move will mean that the total installd userbase in Japan is going up this generation.

Considering the X360 has, 20 months into it's life, reached 85% of the Xbox's total LTD sales, I'd say it's definately grown (in Japan) outside of whomever bought the Xbox. Not only this, there's been no Halo, and only 2 DOA games. If a new DOA game comes out on X360, it will definately do gangbusters, and finally reach all of the old Xbox userbase.

So after that, we see even moreso how much the X360's base is unlike the Xbox.

Well the 360 does have a great attach ratio (second only to the DS this gen), and RPGs have broken through outside of Japan, so it does look like a viable platform for RPG developers.