The console market hasn't been kind to NT. They've always been a day late and a dollar short and they're not gonna take it anymore!
Seriously, I thought Heavenly Sword was a decent game with some cool ideas and a great plot. It was just completely destroyed from a game perspective by GoW2. NT attributed Heavenly's sword cool reception to hostility to the PS3 (oddly, said hostility didn't harm sales of Resistance or Motorstorm). Oddly, NT never figured out that game design/game play is what sells games. Instead they talked about narrative, narrative, narrative. I remember with Enslaved they hired a veteran Hollywood scriptwriter when what they should have hired was a veteran game designer.
Even Hideo Kojima (whose love of cutscenes eclipses that of anyone) knows that unless he offers great gameplay/game design people wouldn't pay $60 to watch his admittedly well produced cutscenes. Its not surprising that despite some deep pocketed companies giving them chances (someone at NT must be a hell of a salesman) success never came their way.
In fairness to NT, while they don't 'get it' its also worth keeping in mind that the middle tier is functionally dead, killed from above by megafranchises spending 9 figure sums they cannot hope to match and indies from below who are taking all sorts of crazy risks and whose games are growing in scope and ambition. Platinum is pretty much the opposite of NT (very focused on gameplay) and their track record is almost as dismal (the Metal Gear game is the only commercially successful game they've worked on and Wonderful 101 sold dozens of copies).
Anyway, here's a snippet from the interview.
On AAA games
“The AAA games console model is a little bit broken. To us, success is being able to survive. But every now and then you look around at a conference and realise that there’s no-one left. That’s because of the barriers to entry at the $60 model. The platform holders control the platform and the distribution, the publishers control the marketing and the funding.”
On why certain genres will die on mobile
“The touchscreen. Yes, it limits you. Certain genres of games don’t work on it – they are bad for it. Throughout the course of history, from arcades to consoles to PCs, games have died. The 2D side-scrolling beat-em-up has gone. Entire genres of gaming won’t exist or have a very clunky existence on mobile. But, happily, things like the point and click adventure game genre are coming back.”