And you'd think he might take the opening to talk about the stress of Nintendo first-party sales dominance. Nope!

Asked about the assumed struggles of being a third party on the Wii and DS in an earnings call earlier this month, Sutton said they are not holding Majesco back. Meaty analyst-exec conversation (that just might teach you something) follows...

TODD GREENWALD, ANALYST, SIGNAL HILL: Todd Greenwald. I am just wondering if you can give us an update on the DS marketplace, just given your focus there? Just wondering if we are seeing any kind of a slow down, how tough it is for you to get your products to stand out there, get shelf space, and just given the huge influx of titles being published there, I am just wondering are you facing any challenges from Nintendo as far as getting your titles reviewed, approved, manufactured, on time and in the volumes that you are hoping for?

JESSE SUTTON [Mahesco CEO]: I think there were a few questions you had there. I guess all three of us here, John, Gui and myself, will share the load of it. As far as Nintendo managing the process and continuing to put our games through or our competitor's games through the way they have historically been doing it, that hasn't changed and we don't anticipate that changing, that dynamic. The ability to get products on shelves really remains not much different than it was over the last six months or so. A lot of that is going to be a result of the kind of game you bring to the marketplace relative to that individual retailer and ultimately they will make the decision as to which products to put on which shelves. We have actually had much more success getting product — a product as broadly placed than we have had probably in the last couple of years.

GUI KARYO [EVP of Operations]: To reemphasize the point that Jesse was making in terms of placement, I would say that the largest glut of release of product not just for the DS but also for the Wii was really around holiday of last year. While there still is a healthy amount of product coming out from both platforms, I would say that competitively we have not seen anything that has precluded us from getting a good product from the type of demographic that we go after released and placed broadly. And then in terms of delivery time, we have not seen particularly over the late winter and spring any signs that the Nintendo manufacturing or approval process is being held up by volume.

And on third parties possibly getting stressed about Nintendo first-party sales dominance

JOHN TAYLOR [Analyst from Arcadia Investment]: Follow-up on the retail. So on the one hand, you have got an audience which overlaps pretty directly with the Nintendo audience. You look at the share split between first-party and third-party and the performance of an average Nintendo title versus the performance of an average third-party title on Wii or DS, either one for that matter. It seems like retailers are likely, at some point to start leaning more towards Nintendo and maybe a little away from third parties simply because that's where all the sales are. That's point number 1. I am setting up for a question here. Point number 2 is shelf space is pretty bogarted to some extent by Nintendo lifelong products. There is not a ton of slots out there and that sort of thing. If that is part of the landscape, what does that imply about your need to increase promotional spending or retailer demands on you to put more support behind new product releases in order to get the shelf space for them?

JESSE SUTTON: John, that's a good question. This is not a new dynamic, not a new trend that's just developing regarding Nintendo's market share and the strength of the brands that they own. That's historically been the case. The third-party publishers that have been able to identify what those consumers who are playing games on these platforms want are the ones that have shown success throughout the history of Nintendo's platforms.

That being said, it is very promising, we are learning that there is retailers today because of the growth in the family friendly marketplace or the family friendly audience, there is a lot of growth to their individual placement or their individual retail space that they are going to be offering to the public throughout the rest of this year. You will start seeing more space at all the retailers like Best Buy, Wal-Mart, et cetera, that are offering more space to the family friendly audience. They are not necessarily taking space away from other video game platforms but other areas of entertainment that have not been doing as well and that bodes well for us and all of us that are in this Nintendo space.

Transcripts captured via Nexis.

If you look at the data for our third quarter you'll see that, out of the 14 Wii titles that shipped over a million units, 11 of those were our titles. However, if you look at the 50 titles that shipped over a million units on DS, only 28 of those are ours.

We identified the same thing in the DS' first period, and the situation continues to change little by little. For the Wii too, we believe that as time passes, the proportion of high-selling titles that come from our licensees will increase.

The only catch may be that programming for the Wiimote has proven trickier than programming for a stylus. So the quality control that has limited third party Wii game popularity thus far may not be solvable just by this new onslaught of titles shipping.

Nintendo responds to third parties' concerns [Develop via MCV]

"On any system you will have a range of quality. Publishers are working extremely hard to take advantage of the Wii and it's unique abilities. Those publishers who do a great job enjoy fantastic sales. As publishers understand how to take advantage of the unique aspects of the remote you will see better and better games. We already have a certification program and publishers need to conform with a number of key aspects to get certified. What we don't do is have some sort of filter for quality, because quality is so subjective. Nintendo is working hand in glove with publishers to share with them our level of expertise with the technology."

My suggestion? Take that big ol' glove and use it to smack down anyone who tries to release another Ninjabread Man. The extent of Nintendo's guidance is anybody's guess at this point, though I am envisioning "Make Wii Games Like Nintendo" seminars popping up around the world.

"We understand publishers are needing to recoup their investment," said Peter Dille, senior vice president of marketing for Sony. "From our perspective, as long as the games aren't going exclusive to other platforms, PS3 gamers are not actually losing anything."

You see that? As long as other consoles aren't getting exclusives, the gamers aren't losing anything. Just repeat that over and over in your head the next time something like Devil May Cry suddenly shows up on the Xbox 360.

"Metal Gear Solid 4" last of the great exclusives? [Reuters via GameDaily.biz]

...we discovered that it's actually the letter of the law with Nintendo to put the publisher's name on the front of the box and the spine, and the developer only on the back. Obviously, this flies in the face of our philosophy of who deserves the credit, and how gamers can actually see who made the game they love or hate, and thereby develop a relationship with their favorite artists, just like authors, musicians, directors, and so on. Nintendo of America says it's a customer service issue, and they believe people might try to call the developer if they have a problem with the game, and they want them to call the publisher, who is the licensee of NOA.

Gamecock's Mike Wilson pinged us, saying the quote we posted was confusing people into thinking the company was bitching about not being able to put Gamecock on the front of the Dementium box. Not so! He'd like to clear the air, so here's his email:

Nintendo forced us to put our logo on the front, by their policy. Does this make sense to you? Here's the full text of what I sent to Gamespot if it helps:

RE: other speedbumps/surprises we've encountered. we discovered that it's actually the letter of the law with nintendo to put the publisher's name on the front of the box and the spine, and the developer only on the back. obviously, this flies in the face of our philosophy of who deserves the credit, and how gamers can actually see who made the game they love or hate, and thereby develop a relationship with their favorite artists, just like authors, musicians, directors, etc. NOA says its its a customer service issue, and they believe people might try to call the developer if they have a problem with the game, and they want them to call the publisher, who is the licensee of NOA. nevermind the fact that we're required to put our contact info on every box and warranty information in the manual... they don't want any chance that the consumer might instead try to find contact info for the logo on the all important front, lower right, box real estate. i asked how they handled developers like id (where i cut my teeth in this industry and saw the truth in the importance of developer IP ownership and branding), who would absolutely refuse to put their games on their platform given this policy. they apparently created a loophole specifically for this, whereby if you change the actual name and logo of the game to the possessive, ie id's DOOM, then their name can be on the front of the box. unfortunately in our industry, this is often considered pretentious, and you'd better be id or valve or sid meier or richard garriott if you're gonna try to pull that off (apologies to american mcgee). so, renegade kid, dementium's developer, chose to just roll with it and be on the back of the box. we did start the dementium manual with the following statement: "We at Gamecock Media Group want you to know that we did NOT make this game. An awesome new developer in Austin, TX, named Renegade Kid made it. Check them out at RenegadeKid.com."

for what it's worth, sony and microsoft both also require the publisher/licensee logo to be in the holy lower right corner, but you can also put the developer logo in the lower middle. the publisher branding thing is one of the most backwards idea's in this industry, if you ask me. its absolutely ludicrous to think that any gamers can have loyalty to these giant publisher names who create 100 different games a year, which vary wildly in scope, genre, and quality.

it's like imagining someone saying "man i LOVE Random House", or "I can't wait for the next offering from Universal Pictures." gimme a break. gamers need to know who their favorite TALENT is in this industry, not their favorite publicly traded conglomerate of suits. even a tiny publishing label like rockstar with only a few games a year can never come close to matching the quality of GTA. why? they DIDN'T CREATE GTA. a small, forgotten, developer in scotland called DMA made it before being bought by TTWO. if rockstar the label has anything to do with its success, you'd see other megahits from them. i think even they have forgotten at this point that they didn't create the game.

So why are weak PS3 sales so bad for the U.S. game publishers? Independently, the implications over the short run are not necessarily significant. However, viewed at a macro level, the share shift currently taking place where the Wii, and even the PS2, are the share takers, our concern is that if software sales also begin to skew along those lines that publishers will be trading higher wholesale revenue (PS3 and Xbox 360) for lower wholesale revenue (Wii and PS2).

Moreover, this is coming at a time when publishers are continuing to increase R&D spending for the more expensive platforms. Lastly, while certain 3rd party publishers like Ubisoft, EA and Activision have shown some success on the Wii, Nintendo remains the dominant publisher on its platform."

I can hear the flurry of commenters typing their, "Kotaku is Sony-bashing again" comments right now. Please remember that these are words coming out of an analyst who is employed by Bank of America. This is a company that will close your bank account, put two cents in it a week later ("M'am, you accrued interest before you closed the account", and then charge you $50 for being under balance for the next six months or until they finally send you a collection's notice. Kim Phu

PS3 Price Cut Too Little Too Late [Business Week via Games Industry]

Osaka, Japan is the robot capital of Japan — The world, even. Over the weekend in Hankyu department store, there was a display in which soccer playing robots duked it out. Here's the cool bit: They were controlled by third party PS2 wireless controllers from Japanese peripheral maker, Hori. I'd never thought about it, but using a game pad for robots makes perfect sense. Still! I do have a soft spot for retro RC controllers and always will. Brian Ashcraft

Hey third party developers! Shigeru Miyamoto has some advice for ya: Don't put your crappy teams to work on Nintendo games. Put your best ones — he top of the litter, the cream of the crop. Heck, that's what Nintendo does, so you should too. Miyamoto offers this:

If there's only one piece of advice that I could give to the managers of third party companies, it would be that a lot of times it seems that when they're putting games out on Nintendo hardware, those games are being developed by their third-string team or their fourth-string team. Maybe that's because they see those products as being unique projects or somewhat smaller-scale projects. But when Nintendo puts out a title that is designed to really support and sell its hardware, that title is always developed by one of our number one teams. And so I think that when it comes to the question of trying to compete with our software, I would really like to see the parties try to do that with their number one teams rather than with the third- or fourth-string teams.

Miyamoto has, in a nutshell, explained why nobody buys Nintendo hardware to play third party games. Brian Ashcraft

Miyamoto Interview [Level Up]

You can please some of the fans sometimes, but none of the Nintendo fans none of the times. Over at Newsweek's Level Up, GoNintendo's Kevin Cassidy (cool sunglasses, dude) takes the mic and challenges how some view all things not truly Nintendo:

So when it comes to third party games, Nintendo fans are almost impossible to please. They seem to want everything and nothing at the same time. They want massive third party support, but when they get it they turn their backs. They have no problem with the rated-E for Everyone titles when Nintendo makes them, but the same designation is unacceptable when coming from third parties.

Huh. From reading this, you'd get the impression that Nintendo fans are unstable misery whores. Brian Ashcraft

P2P With GoNintendo [Level Up]

Don't need, don't want it. But, for people who hate wires, this might be perfect. Back in December, we (not "we," Luke actually) posted a wireless Sensor Bar. It kinda sucked.

Nyko's releasing its own wireless Sensor Bar this March for US $19.99, and it actually looks pretty slick. It's housed in a black casing and roughly the same size as the original — That's including 4AA batteries for 30 hours of wireless support! Since the Nyko bar doesn't know when the Wii is on, there's a timer which beeps to remind you to switch the thing off. Its sensing is even more powerful than the first party wired Sensor Bar. Still don't want one, but if I did, this would be it. Brian Ashcraft

Wireless Sensor Bar [IGN]

OK, I know the idea of a headset that rumbles seem insane, but this new PS3 headset also has four mini-speakers in each earcup and a built in microphone.

The AX360 connects to the PSIII optical port to deliver optimum, Dolby certified 2.1 and 5.1 digital sound separation. For a radical and extreme gaming experience, the unit features eight strategically placed speakers, four in each ear cup. The external 5.1 audio controller amplifies each individual speaker and provides total audio control with inline adjustments for front, side, rear, and subwoofer. The integrated rumble effect also gives PSIII gamers a more realistic and immersed game play. ... With the AX360's removable microphone, PSIII users can utilize the featured VoIP and PC connections. The AX360 sound box can support two headsets to share in the chaos. Secondary headsets will be available for $59.99 MSRP.

While the extra headset sells for $60, the first one will set you back $130. Expensive? Yes, but it makes your head shake. Brian Crecente

Vista, Calif, Jan. 2, 2006 - TRITTON Technologies' AX360, one of the industry's first high performance Dolby Digital and Pro Logic certified digital gaming headsets significantly enhances the personal PLAYSTATION 3 gaming experience.

The Audio Xtreme (AX) 360 provides true 5.1 digital, 360-degree surround sound is available now for $129.99 MSRP through TRITTON's distributor network.

The AX360 connects to the PSIII optical port to deliver optimum, Dolby certified 2.1 and 5.1 digital sound separation. For a radical and extreme gaming experience, the unit features eight strategically placed speakers, four in each ear cup. The external 5.1 audio controller amplifies each individual speaker and provides total audio control with inline adjustments for front, side, rear, and subwoofer. The integrated rumble effect also gives PSIII gamers a more realistic and immersed game play.

"The PSIII is one of the most highly anticipated product launches in console history," said Chris Von Huben, president of TRITTON Technologies. "Every gamer has been told to turn down the volume, which takes away from the gaming experience. With the AX360, gamers can personally experience extreme HD audio, getting the most from games or Blu-Ray movies, without bothering anyone."

With the AX360's removable microphone, PSIII users can utilize the featured VoIP and PC connections. The AX360 sound box can support two headsets to share in the chaos. Secondary headsets will be available for $59.99 MSRP.

PlayStation 3 computer entertainment system unleashes a brilliant, high-definition entertainment experience. The Cell Broadband Engine represents a tour de force in parallel processing. Its built-in Blu-ray Disc drive delivers a whole new generation in high-definition gaming and unmatched digital media storage. Whether it's gaming, Blu-ray movies, music or online services, PlayStation 3 invites gamers to Play Beyond.

A while back, MTV's Stephen Totilo had a whooper of an interview with Nintendo honcho Reggie Fils-Aime. There's been concern about how the Wii-mote eats batteries. But is Nintendo planning an internal rechargeable battery? Meh. Says Reggie:

I would love to see a third party do that, and that's something a third-party licensee can do a lot more efficiently than we can.

Reggie doesn't have time to fiddle with batteries, folks. He's BUSY. Worrying about things like why Elite Beat Agents has only sold 120,000 copies— as opposed to the 300,000 he had hoped for. Says Reggie:

I have to say I'm a little personally disappointed. The sales are strong and good. I personally thought it was going to be explosive.

See that? Elite Beat Agents: Personal. Batteries: Not. Brian Ashcraft

Reggie Interview Left-Over Goodies [MTV]

The Wii's x-factor? Forget the Wii-mote, it's those Mii's Kotakuites keep using as their avatars. A recent Reuters piece gives the masses a run-down as to what a "Mii" is ("customized, cartoony version of themselves"). Currently Wii Sports and WarioWare are the only two announced titles that will make in-game Mii use. Says Nintendo's George Harrison:

A younger player can create a caricature of their parents, and it might entice them to play (a game)... It's true potential isn't even known yet.

Nintendo expects more third party Mii games by the middle of next year. Bad news for me, because my Mii looks like an acorn head. And no, you cannot see my Mii. Brian Ashcraft

Mii and You [Reuters, via Infendo]

The Wall Street Journal has an interesting story up outlining the challenges facing the Playstation 3 as we near the start of what will likely become one of the most heated consoles wars to date.

Besides the obvious, delays, costs, technological set-backs, Sony's also facing a pretty major challenge from its once faithful third-party developers.

I think that Michihiro Sasaki, senior vice president of Square Enix, summarizes the issue best.

"We don't want the PlayStation 3 to be the overwhelming loser, so we want to support them," says Michihiro Sasaki, senior vice president of Square Enix. "But we don't want them to be the overwhelming winner either, so we can't support them too much."

He goes on to say that while he's planning on developing the "most advanced Final Fantasy game" for the PS3, they still haven't decided which console will get Kingdom Hearts, once a Playstation mainstay.

It's kind of fascinating to watch the game developers try to tinker with the console balance of power through strategic game release. I suspect, it could very easily blow up in their collective faces. I've always held that the more consoles there are out there the better off the entire industry is. In nosing around this topic, I get the sense from the big three console makers, that they feel the same way: None of them want to see the others fail so miserably they leave the fight, they want to be first out of three.
Brian Crecente

Problems for PS3 Could Bring Other Sony Setbacks [WSJ, password required]

Third-Party Wii Titles Available
from Launch through March 31, 2007
Publisher
Nintendo
Battalion Wars II
Big Brain Academy (temporary name)
Excite Truck
The Legend of Zelda : Twilight Princess
Mario Strikers Charged
Metroid Prime 3: Corruption
Super Mario Galaxy (temporary name)
WarioWare : Smooth Moves
Wii Sports

Activision
Call of Duty 3
Marvel: Ultimate Alliance
Rapala Tournament Fishing
Tony Hawk's Downhill Jam
World Series of Poker

Atari
Dragon Ball Z Budokai: Tenkaichi 2

Atlus
Trauma Center: Second Opinion

Buena Vista Games
Chicken Little: Ace in Action
Disney's Meet the Robinsons

Codemasters
Dance Factory
Sidewinder

EA
The Godfather
Madden NFL 07
Need for Speed: Carbon
SSX
Tiger Woods PGA Tour

Konami
Elebits

Majesco
Bust A Move Revolution

Midway
The Ant Bully
The Grim Adventures of Billy & Mandy
Happy Feet
Mortal Kombat: Armageddon
Rampage: Total Destruction

Sega
Sonic and the Secret Rings
Super Monkey Ball Banana Blitz

SNK
Metal Slug Anthology

THQ
Avatar: The Last Airbender
Barnyard
Cars
SpongeBob SquarePants:
Creature from the Krusty Krab

Ubisoft
Blazing Angels: Squadrons of WWII
Far Cry: Vengeance
GT Pro Series
Monster 4x4: World Circuit
Open Season
Prince of Persia
Rayman: Raving Rabbids
RED STEEL
Teenage Mutant Ninja Turtles
Tom Clancy's Splinter Cell: Double Agent

Vivendi
Ice Age 2

Technophilia has an interesting list up showing all of the canceled PS3, Xbox 360 and cross-platform next-gen games. The PS3 lists eight games by name and then says they're have been many more. There's only one Xbox 360 title listed as canned.

While its an interesting list, I think they jumped the gun a bit on some of the PS3 titles. For instance, Oblivion is on the list. I know it's coming to the PSP still and suspect it will be hitting the PS3. Brian Crecente

List of Cancelled PS3 Games [Technophilia]

Gameblog Error Macro just officially rocked my face with a highly detailed, and despairingly sardonic, review of a generation of bizarre third-party Mario games:

From 1991 to 1995, nine Mario titles were released by companies other than Nintendo, one of them being Mario's first appearance on the PC, six of which being edutainment titles. They were all made with kids as the intended audience, meaning the name of this article also serves as a good catch-all title for any of the games seen below.

The article is in the finest tradition of game reviews, and includes screencaps, sound files, and animations from the games: Super Mario Bros. & Friends: When I Grow Up, Mario Teaches Typing, Mario Is Missing!, Mario's Time Machine, Mario's Early Years, Hotel Mario, and Mario's Game Gallery.

The latter is the first time "official" Mario voice Charles Martinet appears on the scene, and Error Macro has a brief and hilarious aside about the voice actor's hellish job. His first appearance "interacting with people at trade shows in 1994 via a real-time demo of Mario's head (which would later become the intro to Mario 64) that was mocapped to his face."

Booth babing is horrific enough; imagine spending an entire convention with crap glued to your stubble, knowing your job depended on keeping up a pretention of cheerful Italian nationality at all times. By the end of the second day you'd be attacking particularly hairy attendees, chewing off their neckbeards and vomiting clumps of it onto your lips in an effort to mimic your avatar's impressive 'stache. "It'sa me!" you'd scream, scattering packs of Japanese businessmen like gazelles before a lioness. Eliza Gauger

Mario's Bastard Children [Error Macro]

Taking a page from the Nintendo handbook, gaming accessories maker Thrustmaster has announced a new WiFi USB key for the PSP. It's a WiFi adapter that plugs into your computer, hooking players up with wireless internet and online gaming with out requiring a wireless router. The PSP USB key will go on sale this May, booking at $39.99. Ever wonder why some of the best PlayStation Portable products are third party?

Full Press Release [DigNews] Thanks, Kat!