@Legendaryboss: I'm not necessarily arguing with you when I say this, I'm just referencing your name because your post quotes what I am about to discuss. So, know that I'm not trying to say you said anything along these lines or that you support them, I'm just responding to what the quote you shared says. :)
Reggie's cries that consumers wouldn't support mature games on the Wii are about as ignorant as when he originally claimed that the Operation Rainfall games shouldn't be brought to the states because the market was supposedly too small for them.
Grand Theft Auto: Chinatown Wars was a mobile sidegame, not a main and major installment. Sidegames get less interest out of consumers than main entry. In addition, it had one problem that was the same as for The Conduit: a complete and utter lack of promotion. Neither game had any REAL promotion behind it. The ONLY reason I knew The Conduit even existed was because Kevin Sorbo voice acted in the game. That's it. If he hadn't voice acted in the game, today I'd be saying "What's The Conduit?"
Not to mention, when I check The Conduit on Wikipedia, most of the review scores are poor. Reggie really expects people to buy games that, based on review scores, are likely shitty just to prove that they want mature games on Nintendo's consoles? That's like when a VP at Squeenix said that Chrono series sequels would only happen if people bought more copies of Chrono Trigger DS, when Chrono Trigger DS was just the PS1 version ported to a DS with lazily slapped together crap added in as bonuses. "Hey guys, we made an extremely shitty attempt here, come buy these things you don't want or we'll refuse to give you what you DO want!" That's not how business should be run. It's essentially trying to blackmail consumers into throwing their money away. In hypothetical terms, if you don't want to play The Conduit but you do want to play a future mature game, then you're essentially being expected to pay $100-120 for one game.
I have more I can say here, but since I see there's a news article about Nintendo and mature games, I think I'll say the rest of it in that article.