That's not true. There were several 2D games made for N64, including Yoshi's Story, which was made by Nintendo themselves, as well as Bomberman 64 (Japanese ve

That's not true. There were several 2D games made for N64, including Yoshi's Story, which was made by Nintendo themselves, as well as Bomberman 64 (Japanese version), Bust-A-Move 2, Worms Armageddon, Mortal Kombat Trilogy, etc. It's just that most developers chose to go with 3D at the time because it was the new hotness. The vast majority of the library of both systems were 3D. The N64 was an expensive platform to launch on though. It was a lot more capital intensive to do a game on the N64, because the cartridges had wholesale costs of $15-20 to produce, plus licensing fees to Nintendo. Sony on the other hand had a cheaper licensing model and CDs could be mass produced at pennies per copy. The problem is simply that the RPG genre was dominated by Square and Enix. And Square famously abandoned Nintendo after they abandoned the CD format that was originally planned for the N64. In fact, Nintendo had licensed the CD tech from Sony for early prototypes of the N64, and may have inadvertently created their most formidable competitor by doing so. The CD format was superior for doing large pre-rendered graphics and for higher quality sound tracks and audio files. Since these components were more useful for complex storytelling and cutscenes, Square decided to stick with Sony after the split with Nintendo.