Nintendo turned down the opportunity to partner with Activision on Skylanders Spyro's Adventure, according to a Toys for Bob feature on Polygon.
In the article via IGN, it states Toys for Bob met with Nintendo of America and showed the company an early version of the toys coming to life video game.
"They spent a long time looking and looking," said Toys for Bob co-founder Paul Reiche. "They were just like 'we have never seen anything like this before.' I've always wondered about the full meaning of that comment [laughs]."
Reiche said a limited co-marketing deal was reached, but he was unsure why Nintendo didn't want to fully partner with Activision on creating a Wii-exclusive title.
"We have no idea why. Clearly, they have got properties well suited to this world. Why it is that they didn't rush in here will probably haunt them for the rest of their days," he said. "Nintendo could have kicked Disney [Infinity's] ass. If I was running Nintendo I would have jumped on this."
Activision is hosting an event in New York on April 23 where it's believed a new game in the Skylanders franchise will be revealed.
The final Skylanders: Swap Force character, Doom Stone, will also be released at that time. Activision will be handing 500 fans their very own Doom Stone during the event.