[quote name='dcfox']It's true that Capcom and Nintendo must be disappointed with the sales figure for RE4, but I don't think user base and market share are solely to blame. Looking at the link you posted, it seems like interest in the RE franchise might be waning. RE3 only sold about half of what the original did. Also it seems for the most part all franchises tend to decline in popularity/sales. It happened to MGS, Tomb Raider, DMC, Pokemon, Mario, Zelda, Tekken, Tony Hawk, Final Fantasy, Jak, etc . . .[/QUOTE]
Compare the reviews for RE3 and RE4. The former was generally given "good but not great" ratings while the latter's review were rapturous. RE3 didn't do all that much business because it didn't earn it. The same cannot be said for RE4. Franchise flourish so long as the company finds ways to keep them interesting. Mario Sunshine met with some disappointment not due the aging of the Mario franchise but failing to be as accessable as the previous big Mario platformer, Mario 64. That isn't to say Mario Sunshine was bad but only that its appeal was less universal. It could have co-existed with a true sequel to Mario 64 and done much more business between them.
As for those bringing up Wind Waker, it is a given that a Zelda entry is going to be exclusive to Nintendo's platform. If Zelda fans weren't going to buy a GameCube then things would truly be in a death spiral for Nintendo. Obviously they turned out for that exclusive franchise in large numbers. They did not however for a game which received the highest praise but has a franchise history indicating it will turn up eventually on platforms preferred by those who'd seen no previous reason to own a GameCube. Apparently the crossover between RE fans and Zelda fans isn't that deep.
I will eventually get the GC version of RE4 when it turns up for cheap. I expect the GC version will be the best experience but I'm an oddball who buys all of the platforms and can pick and choose. Most of the market is more conservative in the platform purchases but also spend more money per game than me, making them far more important to the console companies. Getting that machine in their house is the critical step. If they think they can get by with the leading platform it becomes terribly hard for the others to gain any ground. Nintendo hoped to make a difference with Capcom's properties but the payoff just hasn't happened. Sony has had their share of setbacks, too. Killzone was supposed to be the Halo killer but turned out visually impressive and otherwise awful, so it deservedly did little business. The main difference is that Sony is better positioned to absorb those disappointments.