Why did it have a dpad?

Back then as a kid, it looked cool and futuristic af. Now in 2019, this is one of the most poorly designed controllers ever made. At least Xbox Dukes had something going for it.

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Controllers are made before games are released, it's not Nintendo's fault nobody utilized the D-Pad they put on the controller.

The N64 analogue stick has the highest gradient of sensitivity of any controller. Nothing has matched it since.

Those look like cock rings for your analogs

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Turok games used the control stick for camera and c-buttons for movements. Basically, what you said but with inverted hands positioning.

Does anyone know any good third party N64 controllers, or any good third party PS2 controllers?

it is nintendo's fault that they barely made any 2d games themselves. they can't control other studios, but they can control their own output, and they preferred making 3d games instead.

So? they left the option available for any who wanted to use it. Nintendo clearly had 3D in mind but didn't want to leave out the possibility for 2D games.