http://www.gamesetwatch.com/japarc.jpg It's always interesting to see mainstream coverage on on video game-related matters, of course, and over at Newsweek, Brad Stone has a new article called 'Inside Japan's Addictive Arcades', which explains why Japanese arcades live on, still.

Stone notes: "There are 9,500 arcades in the country with more than 445,000 game machines made by Japanese companies like Namco and Capcom, says Masumi Akagi, publisher of Japan's Game Publisher magazine. In the U.S. of course, the story is much different—arcades are a rapidly dying breed with only about 3,000 in operation down from 10,000 a decade ago."

He concludes, after referencing a game of Tekken 5: Dark Resurrection he played: "So this is what we are missing in America, with our arcades abandoned by the big entertainment and game companies and converted into Baby Gaps. Japan's "quarter kids" have grown up and are still having fun... Yet there's evidence that the country is ambivalent about its arcades. Japan is facing a looming demographic nightmare." Lots of messages, here, a little confusing, but overall excellently written. [Via Jean Snow.]