No More Heroes 2: Desperate Struggle, a free-roaming otaku hitman sim for the Wii, has attracted note for the quality of its in-game mahou shoujo parody moe anime (complete with gratuitous jiggle and nude transformation scenes), and its companion shooting game, both visible in the below video.
The moe starts at 9:25 and the moe shooting is at 4:30:
The protagonist, Travis, is actually an otaku, which should go some way to explaining matters.
The executive digest version:
Many will doubtless be reminded of GTA’s Princess Robot Bubblegum, although this comes as a much kinder and subtler stab at the genre.
Although developed in Japan, it is heavily aimed at western markets; the American version is released on the 26th, whilst an EU release is due later. The Japanese release has yet to even be announced. The game can of course also be ordered internationally now.