makes sense
the controller will directly use the wii u's GPU remotely for it's display. this will have 2 display outputs - one for the TV screen and the other for the controller. this is why the controller can display almost exactly what is on the TV screen at the same time. adding more controlers will require more display outputs. adding more display outputs will require more from the GPU, and there is no way nintendo can design for this flexibility beforehand (unless they force everybody spend a but load more just to potentially use more controllers).
JB730
actually, i gotta say now that i believe nintendo will be releasing TWO controllers with its console.
why?
a.) the bottleneck that determines how many controllers one can use at the same time is the system's GPU
b.) we know the wii u GPU is made by AMD and based on a Radeon HD GPU.
c.) we know the wii u GPU has multi-display functionality.
d.) AMD/ATI Eyefinity Technology (ie. multidisplay) was introduced with the Radeon 5000 series, and allowed at a minimum 3 display outputs simultaneously.
3 display outputs = two controllers + the tv.
another possibilty is that they could customly downgrade the GPU to support only 2 display outputs, but i don't know the incentive to go out of their way to downgrade the functionality like that. it would probably be easier to go with what works already here.
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