You quote me but removed the context out. From the first part of your own quote I'm reffering to "this" which you can't know what "this" is without reading the post from before. So what is the "this" that is a complaint?
This part is important. Yes in terms of best-selling third party pubbed/dev titles the Switch is indeed worse than the 3DS and it's not looking like that's going to change. I also said previously that the games will sell more on Switch obviously being the lead platform in the region, BUT, some of those games sold more on PS hardware previously than they are selling on the which despite them still being big series and being on the Switch, which has among the highest installbase of any game system in the country.
Considering how poor the PS3 and PS4 sold against the handhelds but still managed to have series sell more than they are on the Switch with a higher installbase than both combined in the region, that creates a clear issue of Third-parties not selling the software the same.
You are making the argument that overall TOTAL TP software sales are falling from previous handhelds like the 3DS (or rather, you saying that's the argument I made) but that isn't what I was arguing.
Just going on Game Data Library and looking at the mediacreate/Famitsu numbers shows this very clearly that there's something preventing third-parties from growing bigger on the consoles for top-selling titles, which is why the million sellers list is so low. You would think a Series that sold over 1 million or close on the PS5 would do more than that with a much higher installbase and compared to previous portable gaming systems, LESS compromise in the gaming experience since unlike the 3DS, the Switch can run some semblance of the home console game without having to change it, but those games are selling LESS.
That's a pretty big problem.
Now separately, the viability decline with PS consoles isn't all Sony's fault, though some of the injuries were self-inflicted, and I believe this is the second gen in a row they didn't have a day 1 launch in Japan.
Even with the context being what you previously called "third-party large sellers" meaning million sellers your posts are full of errors and your thesis that "Nintendo's Infuence" is what's preventing third-party games from becoming million-sellers is unfounded.
When comparing the third-party million-sellers in Japan on DS and 3DS using sell-in data one could states that third-party million-sellers on 3DS sold roughly 12 million units more than those on DS.
This is despite DS selling roughly 8 million consoles more than 3DS and overall DS third-party software sales being higher than the respective on 3DS.
How was is it possible?
It's impossible to correctly answer if you don't know the actual composition of the million-sellers that is from which historic franchises they belong or if they are a new kind of hit.
Looking at DS third-party million-sellers' total sales, the main contributors could be classified as the following:
1) Dragon Quest (mainline games, remake of past mainline games and the Dragon Quest Monster spin-off): ~63%
2) Level-5 multimedia projects (Professor Layton, Inazuma Eleven): ~20%
Others: casual games from Bandai Namco and Sega Sammy, remake of FFIII due to being released at the right time on DS (when DS was booming and consumers was craving for a big RPG to play on it) because FF remakes typically aren't million-sellers in Japan (FFVIIR is a bit of a special case in that it has the same budget of a mainline game while previous FF remakes had always lower production budgets).
Looking at 3DS third-party million-sellers' total sales (which, remember, were markedly higher than DS), the main contributors could be classified as the following:
1) Monster Hunter: ~43%
2) Level-5 multimedia projects (Yokai Watch): ~39%
3) Dragon Quest (mainline games, remake of past mainline games and the Dragon Quest Monster spin-off): ~11%
Others: consolized vesion of popular mobile hits like Puzzle & Dragon and Monster Strike.
Dragon Quest million-sellers on 3DS sold a lot less than on DS and if we look for the cause it's immediately apparent that there was a bigger DQ push on DS (DS got a full mainline game all for itself, 3 remakes and the DQM games were more successful) however the loss was compensated by Level-5 multimedia projects selling much better on 3DS than DS and Monster Hunter appearing on that era as a de facto exclusive for 3DS whereas it was totally missing on DS (DS couldn't run that kind of games...).
As you can see the explanation is simple once it is considered the "weight" of the games that appear on a platform.
The other important factor is that not every million-seller is equal in nature.
There are those that belong to franchise that had demonstrated to surpass the test of time, think for example about Dragon Quest, Monster Hunter and Final Fantasy (though the latter popularity has today greatly diminished from the height of the late '90s) and then there are million-sellers which are a result of a fad, that is their success cannot stand at above million-selling level for long (it's on borrowing time).
If you want a prime example of fad rider look no futher than Level-5 which specialized in finding out new kid fads with their multimedia projects (Inazuma Eleven, Yokai Watch).
This is a highly risky strategy because it leaves a company without a long term assent to fall off in needing times and because continously finding new fads is extremely hard and unpredicable.
So let's look at what support Switch received from the third-party franchises that were main contributors on DS and 3DS:
Monster Hunter:
Monster Hunter went from supporting exclusively 3DS to support PS4/XBO/PC/NSW, not just that but the first mainline MH appeared on Switch 4 years after the console introduction, that is much later than what happened on 3DS!
Still Monster Hunter Rise sold very well but is undoubtly that MH had a greater focus on 3DS than on NSW.
Dragon Quest:
Almost 6 years later and Switch has yet to receive a new Dragon Quest mainline game, has yet to receive a new remake of a past Dragon Quest mainline game (Dragon Quest X was an online game), has yet to receive a Dragon Quest Monsters game.
The best selling DQ game currently on NSW is the Director Cut of a mainline game released 2 years prior on PS4/3DS (albeit on 3DS as a sort of demake).
Even worse there was a total lull of Dragon Quest game releases between early 2019 and late 2022, basically skipping the years in which Switch hardware boomed.
That was a terrible scheduling by Square Enix.
Level-5 multimedia projects:
Level-5 has released Yokai Watch 4 on Switch but by the time the Yokai Watch fad in Japan was already over and Level-5 was incapable to create a new popular fad with Snack World and Megaton Musashi.
Final Fantasy:
Joke! The last time a new mainline Final Fantasy games launched day and date on a Nintendo console was on Super Famicom!
Switch continued the receive the usual family friendly games from Bandai Namco (with the Taiko NSW episode becoming the first million-selling Taiko game in Japan), got Minecraft which is absolutely huge and also had the unexpected exploits of a long running series like Momotaro Dentetsu which was at risk to be terminated in early '10s (Momotetsu has always sold very well in Japan but the Switch game is many times more successful than any previous episodes).
The lack of a multitude of third-party million-selling games is caused by the behaviour of who produce the games (third-party publishers) and their lack of skills to produce games that have the potential to garner wide popularity in Japan from all the demographics.
Ask yourself: is Splatoon popular because the Nintendo name is stamped on the cover or because it's a brilliant concept that match the the tastes of japanese consumers?
Remember the first Splatoon launched on that abject failure known as WiiU and yet sold in total 1.79M in Japan!
When was the last time Final Fantasy sold over 1.79M in Japan? FFXIII on PS3 released in 2009.
when was the last time a japanese third-party new IP sold over 1.79M in Japan? Yokai Watch 2 on 3DS released in 2014.
And before Yokai Watch 2? Monster Hunter Portable 2/United on PSP released in 2007 (Monster Hunter was created on PS2 but became the phenomen we know today on PSP).
Why aren't japanese third-party publishers coming out with "Splatoons"?
if your answer is "due to Nintendo's influence" then I would humorously joke that the problem is the exact opposite, they lack Nintendo's mojo .
But in the case you are still not convinced and stand that it's Nintendo consoles the problem: fine, Let's look at the last PlayStation console to ever approach 20M install base in Japan, that is PSP released in 2004.
What are PSP third-party million-sellers (again sell-in data)?
3 Monster Hunter games and 1 Final Fantasy spinoff (Dissidia).
That's it.
But let's go even beyond in time, what about the mighty PS2 (again sell-in data)?
Of the 19 third-party million-sellers:
- 2 Dragon Quest games (1 mainline, 1 remake of a mainline game)
- 3 Final Fantasy games (all mainline though 1 was a semi-sequel)
- 2 Kingdom Hearts games (all mainline, new hit series created on PS2)
- 4 Warriors games from Koei (new hit series created on PS2).
- 5 Winning Eleven games (what is known as PES in the west)
- 2 Onimusha games (new hit series created on PS2)
- 1 pachi-slot simulation game from Sammy (I kid you not!)
Now think for a moment, Switch has yet received a Dragon Quest new mainline game or new remake of amainline game, has received no new mainline Final Fantasy and no new mainline Kingdom Hearts game unless you take seriously a Cloud version.
No Winning Eleven/PES/eFootball either but even if it had received it wouldn't have become a million-seller.
Why? Because as I've already said "not every million-seller is equal".
Who follow exclusively the trends in western markets may be surprise to know that sport simulation franchises (which for decades are some of the best sellers each year in America and Europe) in Japan were never capable to sustain big sales for long stretch of time but always lived some sort of temporary fad (Nintendo/Jaleco/Namco sport games on Famicom, Everybody's Golf on PS1, Mario Tennis on N64, Winning Eleven on PS2, Wii Sports on Wii and the recent Nintendo Switch Sports).
But what about the Warriors games? Koei Tecmo heavily support Switch, why is there no Warriors game (even with a license facelift) that is a million-seller on Switch?
For the same reason that no Warriors game past PS2 were ever capable to reach 1 million in sales in Japan, no matter the platform, nor the external license attached to it...
Remember "not every million-seller is equal".
There are simply games whose cause of success is temporary and which gameplay doesn't possess an enduring quality that let a publisher to iterate the franchise and maintain high popularity generation after generation.
With this long post I went down the memory lane of Japan console game history, one must always keep in mind when looking at historical events that the context in which they are happening are in constant influx.
For example the game industry went through constant consolidation during which publishers merged (many big japanese publishers have a double name: Square Enix, Koei Tecmo, Bandai Namco) or acquired other publishers (Konami bought Hudson Soft from which obtained Momotaro Dentetsu), production and marketing budgets kept increasing and new form of digital entertainment emerged to challenge videogames for consumers time.
New possibilities arised like digital distribution (which removes the constrains connected to physical goods like the cost/time constraints due to manufacturing, the cost/time constraints due to the requirement to ship an item and the space constrain to store the item on space limited shelves) and what was once an industry with a strong "winner takes all" mentality is today forced to adopt multiplatform development to continue to be competitive globally (and is helped in this transition by the rise of middleware that helps multiplatform development).