Yoichi Wada, President of Japanese RPG giant Square Enix and Chairman of the Computer Entertainment Supplier's Association (CESA), was recently interviewed by Japanese business publication Nikkei BP about the state of the video game industry in Japan.

After a long sales slump, the gaming industry in Japan is faring quite better again in large part thanks to the booming portable market (DS and PSP). Despite the recent upturn, however, Wada is not pleased with the apparent lack of standards and shortage of technical experts in the industry. In fact, he feels that if things don't change soon, the industry itself could fade away. "We are approaching a crossroads that will determine whether or not [gaming] can be established as an industry," Wada cautioned, according to a partial translation of the interview by GameSpot.

These words may seem like hyperbole, but Wada is adamant that the Japanese video game industry must establish more standards for dealing with daily operations such as project management, team building, and human-resource management.

Wada further explained in the interview that Japan is in need of more experts in fields like network infrastructure and operational administration. The Square Enix exec blamed the Japanese game industry for failing to attract these kinds of people. He said that new technology and people well versed in it are vitally important to moving the video game industry forward.

"In the U.S., the game industry is a very desirable employment destination that attracts the talented technical specialists," Wada explained. "Technology is indispensable to innovation in games. It isn't everything, but it's the means for producing new [games]. Innovation that isn't grounded in technology is inconceivable."