Tarjeta Prepagada said:
Nintendo moneyhats is the only right answer to this question.
Nintendo doesn't need to pay Square Enix money for its DS support. Square Enix is making more than enough money off the actual sales of their games.
The averaged sales of all of SE's DS games, by the way, is ~310,000. That's pretty ****ing impressive.
The actual sales of their PSP games are much lower, in case you were wondering.
Die Squirrel Die said:
Okay this was one of the points I wanted to make in my original post, before I messed it up. Games development isn't instantaneous, a decision made now probably won't be felt at a public level for months, even years after it has been made. The way people act with sales, it's like they expect companies to just turn around and announce a new AAA game every month for the next 2 years, after a couple of months of sales.
Well, no, you don't expect a new game to be announced immediately after a couple of months' strong sales. But bear in mind that a lot of the announcements you're seeing for the DS right now are projects that were likely initiated in November/December 2005 when the DS sold a staggering 600k in a single week. That, I imagine, opened up a lot of publishers' eyes pretty damned wide. And just now, almost a year later, are we going to start seeing the ramifications of that.
To answer your original question: it's just simple, really. They took a look at the two platforms and Wada determined which would be the market leader (a matter of predictive analysis), while factoring in lower development costs. Wada's repeatedly stressed how he agreed with Nintendo's direction of trying to go in an unusual direction and the necessity of bringing in new gamers. And voila, they had a console of choice.
They're not going to completely ignore the PSP, though -- it's still selling decently in Japan, and its software's still doing well in the US (though as Amused to Death noted, SE's gotta be disappointed with the VP:L sales so far). But it's likely that the ratio in favor of the DS is just going to keep growing.