Well... they're a game company with knowledge in games, some of their series I've enjoyed a lot over the years. They should stick to games where they have a solid niche in the market and decades of successful experience. If they switched focus to film they'll be at the bottom of the heap, so to speak, and wouldn't be able to compete with Hollywood or come up with the budget for a stream of good films. I mean they made Degeneration recently, right? That was basically a fan film, IMO... the effects and CG was all right, but as a film it lacked real substance or originality naturally, was catering to a narrow audience and never got a cinema release, obv. The total revenue from the film was $8 million or something like that, but was it really worth the time and effort for them in business terms? If they're going to make films I think (personally) they should make films of their games. Rather than these spin-off type films with familiar characters but a weak or similar-to-game-but-not plot. Just adapt the game into a film and keep it as close as possible to the original game story and script. Degeneration should have just been a movie of Resident Evil 2, if you ask me. Then I'd have bought it!
The one-off movie here and there is probably fine, though and won't hurt their finances too much or divert too much energy from their games. I haven't found many game company films much good, though... Final Fantasy: The Spirits Within springs to mind as well, and Advent Children. Very nice to look at but I doubt I'll want to watch them again.
