TOKYO--According to Japanese site Mainichi Interactive, Bandai will no longer develop hardware for videogames. The news was revealed by Takeo Takasu, president of Bandai Corporation. Takatsu explained that the company's Pippin ATMARK console and WonderSwan game deck had failed to generate enough consumer interest to warrant continuation of the projects.

　　Going forward, Bandai will focus on developing game software only. "We will be dealing with all hardware makers equally, without any special treatment towards Nintendo," said Takasu, commenting on the company's relationship with its new shareholder. The company is considering the possibility of releasing titles for the Xbox as well, if the console's sales increase in Japan.

　　When contacted this morning, a Bandai America spokesperson reacted to the news with little fanfare, indicating the parent company's move reflected the realities of recognizing its strengths lay in software and other entertainment sectors rather than hardware.

　　That spokesperson did comment on the overall strength of the company's U.S. subsidiary, stating that in the past four years, since Bandai America reentered this market, it has more than doubled its gross revenues each and every year.

　　The spokesperson added that next year could well turn into another period of record of growth--in the U.S., the company plans on releasing 20 game products across all platforms, Xbox included, during calendar year 2004.