They'll make games for the 360. Which is good.
To me, the only way 360 is going to do anything in Japan is if these niche RPG-game makers start getting on-board. Mistwalker is nice but short of Dragon Warrior X appearing only on the 360...a single developer won't make a difference. They need all these little ones adding up with their small games of this and that.
On another note...
I truly hope N1 is aiming for PSN or something with Disgaea 3. Odin Sphere knocked 2D sprites quality into a completely other orbit.
I mean I knew Disgaea was never a pretty game but it feels like they're going backwards with 3 from Disgaea 2 and their similar works.
So many of those sprites are just copy-and-paste from their last couple of games.
They've restarted a bunch of times with Makai Wars on the PSP, then on the PS3, then lost to the ether...then to somewhere-in-between. I worry their next SRPG may get stuck in confusion for a while.
I am glad they're going to branch out but I really think the DS should be their console of choice, realistically-speaking. I still glad they're going to the 360 but with visual quality like that, they'll find the least embarrassment on one of the console arcades or handhelds.
Their games are great hour-eaters and a lot of fun but they really need to rethink things if they're going to try to sell a 2D-ish game for 59.99.
This is all I've heard with regard to the DS for them.