I don't think Nokia needs to worry about the current crop of games. They will improve with time. I think, what Nokia has faltered this time too, only due to their policy. Their policy is nothing less than that of an insane man.
First of all, how can you plan to have your platform as an application which is not ready? They should have developed the application first. And then these runtime problems could be identified and eliminated pretty easily. The policy should be, take care of the vessel first, if it's perfect, it will manage the water better. What they did is just the reverse. Today, most of the problems faced by the platform, I feel, are due to the N-Gage client (which is probably one of the worst coded programs by Nokia). Be it 'KERN EXEC' errors, be it lack of support for N73/N93, be it the 10K bug, the buggy application is behind everything.
Secondly, Nokia haven't tried to address the issues of GAMERS, like saving games, transferring game licenses and saves to newer devices (at least the transfer service is not ready).
Thirdly, the inability to pay for games (except using credit card) in many countries. Simply, Nokia were not ready before N-Gage went live. All the First Accesses and other beta tests were useless, when they hadn't even fixed these basic issues. When you can't pay for the game, piracy is bound to creep in. And locking only one method of payment is not much better than the earlier generation. Seems like Nokia were busy creating flash presentations for N-Gage throughout 2006 and (first half of) 2007, not finalizing deals with operators.
Fourthly, their PR sucks these days, and they falter repeatedly on due dates (Needs no citings. I am suggesting AAN/AAS to start a contest: Tell us when Nokia could maintain their release date for the last time). They are not even revealing what is actually happening to the support for devices like N73/N93/N78/N96. And their employees say what they don't know. For example, see this article:
http://www.pocketgamer.co.uk/r/N-Gage/N-Gage+(next+gen+platform)/news.asp?c=5917
Here, Jaakko Kaidesoja says
"We promised the N73 earlier, but we found some memory issues, as it has a lower memory spec than other devices," says Kaidesoja.
Can I ask Mr. Kaidesoja, didn't you know that N73 has lower amount of RAM when you people promised an earlier release for that device? Doesn't this prove that you people were not ready for the launch, however long time you've taken.
Fifthly (yes, there is something more), they are too much concerned about the DRM in the games. They should have noticed that big gaming companies like Microsoft, Sony and Nintendo are not being able to stop piracy, why are you tickling the pirates to be extra interested about your product. I want to site the example of two companies dealing with mobile software, and their profits seem to be decent or more than that. One is Epocware, they hardly have any DRM protection, they only issue a serial number for each copy of the software. The interesting thing is, once a serial key is issued, that can work in any device where the application is installed. So, there's not even the need of doing anything. Another one is Gameloft. They don't have any DRM at all. They give out retail copies to those who buy the games and these copies can be easily shared. Do you think these companies make paltry or no profit? Actually the scheme of N-Gage is such that it's easier to buy than to install those cracked games. Why spend on useless DRM (which will be cracked anyway)?
If N-Gage succeeds after all these, I will be very happy, not because I am a Nokia fanboy, but because with N-Gage we get more of those native titles, at least I get something to play with. If this iteration also fails, I hope Nokia will think about these issues prior to the launch of N-Gage 3 (if they again try to take over the gaming market).