I worked at a digital agency that did work for OUYA for about a year and a half. I got to build the original version of their games page that displays info about all the games on the system (It’s since been tacked onto and hacked apart by the company who succeeded us, who loves this paintbrush aesthetic and videos everywhere… not a fan of it, personally).
It was a very frustrating experience to work with OUYA. They never missed an opportunity to shoot themselves in the foot. We would make recommendations (for example, with their Free the Games Fund initiative, we strongly recommended against the $50k minimum asking price for projects, and I personally begged them not to send their disappointed Kickstarter backers $13.37 as an apology) that they would ignore or argue strongly against, and when they went through with their plans, they backfired just as we said they would.
I think the root of their problems was the fact that they had no clue who their core demographic actually was. The idea of getting your game into living rooms around the world so easily was a great opportunity for hobbyist and small-time indie devs. It could have been like the minor leagues for developers to be vetted before making it big. But instead of embracing this, OUYA tried marketing themselves as direct competitors to Microsoft and Sony, which they clearly weren’t. To make matters worse, their “Every game free to try” mentality created a consumer environment much like the mobile market space, and I think it only encouraged players to not spend money on games.
I still think there may be a market for something kind of like the OUYA. The idea of a true indie console not bound to the restrictions of big publishers would be a great way to discover new and interesting content. But I imagine it’ll take some different form, like a cloud-based service or something. And maybe it’s for the best that OUYA won’t be part of that next step, but instead serves as a reminder of what happens when you try to force something that isn’t happening instead of embracing your strengths and running with them.