Problem is the difference in the budget to bring a great game to market. It's unlikely that a tiny team can bring a great console game to market, but that happens all the time on mobile.

But I agree - it seems to make sense to make it easier to develop games (aka simpler, cheaper, better-designed tooling that does more heavy lifting), and add an appstore.

This is Oya's approach, and the big problem with this approach is that it doesn't really invite developers with deep pockets : developers who can actually pay to 1)develop a quality product, 2) advertise their product across mainstream media - which will drive demand of your platform.

And the final problem is that it'll be way less profitable for Oya: console games are so overpriced that they subsidize the consoles themselves. But apps can't really subsidize the iPhone - they're a low-margin business.

I think the real solution is to give away both the consoles and the games, but charge a monthly subscription, and divvy it up based on engagement in games. It'll be the new cable tv: $25 for basic service (you only get access to 20% of hot games, but all regular games), and $45 for premium access to everything, with netflix and hulu plus thrown in for free.