Thanks for responding. I get fickleness of the public but whizzing through the the list of best selling 360 and PS3 games (most likely to be profitable), there don't look to be any major surprises of gameplay/genre. Mirror's Edge I'd definitely class as risky - I think it would have done much better if they'd designed it to be a £10 XBLA/PSN game on a smaller scale.
I find the 70% profit failure rate to be terrifying. I sincerely believe there are simply too many games out there for most people. I'd guess lots of gamers fall into the time-but-o-money or money-but-no-time camps with a few in the middle. Too many games trying to vie for too customers and anything not scoring a 7 on Eurogamer or 6 on EGDE isn't going to get a look for the most part.
Still, at least nobody mentioned piracy and DRM - getting back OT.
Publishers are gamblers that are addicted to big risk and big win. Anything that they see as increasing their chances of "winning" is something that they'll go for like a crack addict breaking into you house to steal shit to sell at the local pawn shop.
This is ably demonstrated by Xbone DRM - the tool that was supposed to stop the thieves down at Gamestop legally selling something they'd legally bought - now being used to hammer schoolkids that want to lend to lend or sell a game to their friends. Xbone DRM is entirely capable of handling private sales and lending, but this has been prevented as a carefully engineered business protectionism mechanism.
XBONEDrm.