That's true, old console multiplayer games were more like Teenage Mutant Ninja Turtles II, but many games were mostly single player. Still, even single player games were often played in crowds, like passing the controller around in Super Mario Bros, Sonic 2, SMB3 and so on. My friends and I were almost always at each others places playing together, sometimes there were 10 of us around the TV at the same time, one of us playing at a time but everyone being just as engaged in the game. You don't really see that on the PC, it's not designed for it in the same way.
Edit: on the topic of FPS, while I think it's best on the PC most of the time I don't think it can't be done on consoles. GoldenEye and Perfect Dark were both really good for splitscreen gaming with console controllers, and the fact that you sat together looking at the same screen made it a more personal experience (a good thing, imo).





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