The Wii may be miles ahead of the competition in the total sales race, but for the first time in four years, Nintendo saw a drop in profits from the cash-hauling console. Acknowledging the situation, Satoru Iwata owns up to the decline, looking forward to turning things around.

Always quick with a comment, Michael Pachter has weighed in on the rumor about Microsoft buying Electronic Arts. As far as the Wedbush Morgan analyst is concerned, the rumor doesn't make any sense at all.

First, a disclaimer: this is just a rumor, so get your saltshakers ready. All set? Okay. Rumor has it that Microsoft is gunning for a takeover of video game publishing giant Electronic Arts.

If Reed Hastings had his way, his movie rental company's services would be spread out over all three seventh generation consoles. That's what the Netflix CEO told Reuters earlier this week.

So why is it, pray tell, that most of the games we see today are either sequels or spin-offs? You've got Gears of War 2, BioShock 2, Resident Evil 5, Patapon 2, Metal Gear Solid 4, God of War III, Fable 2... the list goes on. Yes, from time to time new IPs pop into the picture, but they're few and far between, unfortunately. Maybe an article at Reuters can shed light on this "sequel spammage" scenario, as well as reveal some of the measures that they take to make their sequels more approachable to the general market.

Electronic Arts has announced that it will not buy Take-Two just yet. The company has made an agreement with the Federal Trade Commission that it will wait until the FTC finishes its probe into the takeover proposal. More in the full article.

Japan used to be the one, big remaining sanctuary of arcade gaming from the console onslaught, but that seems to be changing fast as we speak.

Reuters reports that tough times are coming to the industry as the Nintendo Wii leads the charge in the competition for the time and money of kids in the country. The innovative console took away things that one belonged only to special arcade machines, causing concern about the future of the business.

When you're intent on promoting sports video games to an evolving market, which console would you employ to help you out? For EA Sports, it would be the Nintendo Wii. The company is very much aware of the fact that older gamers and female gamers have flocked to the machine, and it's hoping to work with that. More on the EA Sports initiative in the full article after the jump.

A lot of talk has been going around regarding the currently pending Activision-Vivendi deal and EA's US$ 2 billion offer for Take-Two Interactive. While it may seem that mergers and acquisitions are the current trend, THQ's Chief Executive Brian Farrell feels that it isn't a necessity for company growth. To find out more, head on over to the full article.

This Christmas, Nintendo of America president Reggie Fils-Aime is not only bothered by retailers forcing consumers to buy Nintendo Wii units in bundles, but also has a tough time planning for the console's future because of shortages. More details at the full article.