[Nick Williams, GamerMetrics]

On whether publishers underestimated the Wii and DS: Many publishers adopted a wait-and-see approach with the Wii and DS, which is understandable given Nintendo's ambitious mass-market strategy and unproven new technologies. Historically, the success of Nintendo's platforms has been closely tied to its home-grown franchises, and up until recently, the Wii and the DS had been no different.

But now that both platforms are creating new market opportunities, third-party publishers feel compelled to capitalize on the large installed bases and diversify their software offerings to mesh with the new audiences.

So, yes, third-party publishers underestimated the popularity of the DS and the Wii; however, Nintendo's platforms have always been difficult for outsiders to conquer. Now that Nintendo's platforms are starting to lose their core gamer stigma, the opportunity is certainly there for these publishers to step up to the plate. Case in point: Electronic Arts CEO John Riccitiello mentioned that EA was on "the wrong horse" and that the company would be shifting its strategy to account for the Wii's success.

On which publishers have fared best and worst: The epicenter of the DS movement is unquestionably in Japan. Third-party Japanese publishers such as Namco Bandai, Square-Enix, Konami, Capcom and Sega have been able to capitalize on the rise of the DS with titles that are popular in the Japanese market but also resonate with international audiences.

It is Nintendo, however, that has profited most from the DS' success. On the software front, it has performed a masterful balancing act between driving mass market adoption and retaining traditional gamers. This trend looks to continue into the 2007 holiday season, thanks to a diverse Nintendo software lineup that includes Brain Age 2, Flash Focus and The Legend of Zelda: Phantom Hourglass.

Moving onto the Wii: Clearly, most publishers were reluctant to invest significant portions of their development resources into the console, prior to launch. Ubisoft, on the other hand, noticed the potential early on and has since generated the second most software revenue of any Wii publisher in the U.S. behind Nintendo [according to The NPD Group] thanks to titles like Red Steel and Rayman: Raving Rabbids.

It is worth noting that as of July 2007, Ubisoft has published more Wii titles than Nintendo, excluding virtual console titles -- a clear indicator of its commitment to the platform. Publishers that have missed the boat, include Take-Two Interactive and Vivendi Games, and it should be interesting to see how these companies respond to the rise of the Wii and DS.

On advice to publishers looking to capitalize on the Wii and DS: It is vital for publishers to adjust with the spirit of the times, but it's also important that they don't overcompensate in their strategies and lose sight of their core values.

So my advice would be to explore family-oriented software for the Wii and DS, without sacrificing key franchises and licenses. The proliferation of peripherals, especially on the Wii, should provide plenty of opportunities for developers to enhance current franchises. The Wii Balance Board, for example, could provide a completely fresh experience for all kinds of gamers.

Could you imagine a Grand Theft Auto game where you actually run out of breath while trying to outrun the cops? Or, how about a Tony Hawk game where you can simulate real-life skating tricks? Or even a Madden game where gamers control the movement of the quarterback with unprecedented precision? If done in the right way, these types of games could bridge the gap between casual gamers looking for a fun workout and core gamers looking for a unique gaming experience.