The Men Who Wear Many Hats, Organ Trail
The game we have out right now on Ouya (Organ Trail: Director's Cut) is not multiplayer. However, another game we are about to put out (Max Gentlemen) started as an game in an arcade cabinet and will probably be making it's transition to Ouya. We learned a lot by watching drunks play our game at bars. There is certainly a lot to learn about local multiplayer from any arcade game out there. Go research those.
Eric Froemling, BombSquad
With BombSquad, I put a lot of effort into making the game playable with any controller you throw at it (including writing a controller app for iOS/Android devices) and that has paid off tremendously. I'm hearing stories all the time from people who've had several friends over, had only one controller, but were still able to get a big game going using spare PS3 controllers, a few iPhones, etc.
So if you're writing a local multiplayer game I'd highly recommend putting effort into making it work with as many peripherals as possible. Or, if any device makers are listening, I'd highly stress making this as easy for developer as possible. If I could plug in any no-name USB gamepad, run some global config UI to tag 'x','y','a', and 'b' buttons, and then have every game just work with that instead of relying on individual games to support it that'd be *awesome*.
E McNeill, Bombball
Local multiplayer is awesome, but be flexible with your multiplayer options. My game was focused on a 2-player mode, but I got a lot of request both for more singleplayer content and for a 4-player mode. The more easily people can engage with your game, the better. I especially admire games like Pipnis or Get On Top that allow for multiplayer with a single controller.