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Iwata implies he may resign over poor business performance

It will be a very, very, sad day if Iwata ever is forced to leave Nintendo.

Iwata is responsible for a lot of Nintendo's policies. Their first-party DLC policy, for example. Games are to be complete at launch, all DLC to be extras developed after launch. This stops the gauging that many developers do these days. He wants everything to be as cheap and complete out of the box as humanly possible. As PhantomR stated, Nintendo is very pro-consumer, even if they do some things that annoy us, the vocal minority (such as Region Locking). If he's replaced, the replacement could turn Nintendo into that. Imagine Animal Crossing with a craptonne of micro-transactions. Mario games where you have 2 worlds and then have to pay $5 for a new one. It'd be horrific.

Nintendo are doing things right. People keep saying they should have focused on power rather than these different experinces. Let me put it to you, do you REALLY want a third console that is just exactly the same with different exclusives? I certainly don't.

The Wii U sold more in the first two months than the Playstation 3 and Xbox 360 did in the same timeframe. The problems are on three tiers

1) Nintendo, along with other people, keep comparing the 3DS and Wii U's sales to the massively anomalous DS and Wii sale trends. Those were anomalies and will never be able to be matched.
2) Nintendo needs to be far more conservative with their estimates and forecasts. If they were more conservative, this whole thing wouldn't be an issue
3) People continue to class Nintendo as being for kids. A friend of mine asked why ZombiU was on the Wii U since Nintendo consoles are for kids. Even when Nintendo tries to sort this out, people still believe it and complain, as seen with Bayonetta 2. Western developers even believe this. Their marketing doesn't help.

There's also an issue in the gaming media where they seem to have a massive axe to grind against Nintendo. For what reason, I am unclear. All the Nintendo is doomed articles do not help their public image. Look at the 3DS in the UK, as it was coming out, several media outlets went on a massive negative rant against Nintendo, claiming that the 3D can destroy your eyes, and other such things.

Iwata resigning won't solve a damned thing. He has made some mistakes, but you need to consider the mitigating factors and everything. Loads of developers are collapsing, loads of companies including entertainment retailers. The economy isn't in the best of shape. Yes, there could have been better games at launch, but when is that never true?

It'd be foolish to thing the PS4 and new Xbox will be any different.

Besides, the 3DS is profitable, and will massively take off in the west this year, by Pokémon X & Y alone.
 
The problem is: if Nintendo invest in 3rd party, people gets angry - See Bayonetta 2 and Rayman.

Certainly.

If a game of a GTA caliber got announced as a Nintendo exclusive, anti-Nintendo fanboys would meltdown.

Hell, even when MH4 was announced for 3DS, the baby-crying from Sony fanboys was annoying.

They complain about Nintendo not getting third-party support, but when it does, they say Nintendo are stealing their games.
 
There's no evidence they will die. Stop clinging to the past and look at the future. Good marketing triumphs ALL.

Good word of mouth is the best kind of marketing one can get. So I say stellar games with wide appeal triumphs ALL. Go Minecraft!

Edit: Speaking of Minecraft, there is another example of a hit that came outta nowhere.
 
Oh man, this would be really sad =\ I love Iwata, and would hate to see him go. Plus who knows if the replacement would be better... of course, at least from me, this is all speculation.

I'm sure we'll see in time how things go.
 
Certainly.

If a game of a GTA caliber got announced as a Nintendo exclusive, anti-Nintendo fanboys would meltdown.

Hell, even when MH4 was announced for 3DS, the baby-crying from Sony fanboys was annoying.

They complain about Nintendo not getting third-party support, but when it does, they say Nintendo are stealing their games.
Those people are a small but vocal minority. The majority of the fanbase will make the jump, as seen with DQ and lately, MH.
 
I've seen otherwise rational posters get upset at the notion of Nintendo getting exclusivity on certain franchises.

And not just now, even back in the Gamecube days. The Resident Evil exclusivity thing made a lot of people mad.
 
Can someone please make a GIF from Revenge of the Sith, with a bunch of people from Nintendo coming into Iwata's office in attempt to remove him, him pulling out a lightsaber, and slaughtering them all??
 
Some of the games on this list go to prove my point of the huge risk involved. Look at Geist. Interesting premise. It had broad market potential, being not too juvenile while at the same time not ultraviolent. It flopped. What happened? Speaking personally, I was intrigued, but when it came time to shell out the cash, I was scared off by somewhat mediocre reviews. I had a PS2 and there was a myriad of titles that I did not yet own that I was more confident in gaining enjoyment from.

The software that comes out of any proposed collaborations or acquisitions needs to be of the highest quality, or else the investment is not worth it.

I find Excitebots to be quite an interesting case study. Here you have a new IP with new crazy characters. It was also, by all accounts, a quality game. You know a company like Nintendo has the capability of going all out on marketing with toys, cartoons, etc. Yet, Nintendo sends the game to die with little marketing! What was the point of funding development in the first place?
Like I said regarding n-Space, they spent 4+ years working on Geist. They needed Miyamoto's intervention to finish the game with relative timeliness.

Silicon Knights was stuck on Too Human since the N64. Probably another bad experience.

They want developers that don't need too much oversight. Retro needed it when they were working on Prime 1, but they've become the closest thing to another Rare that Nintendo has built itself.

The games they choose to market with cartoons, etc. are successful beforehand*. To be fair though, I think their non-Pokemon toy/cartoon marketing sucks.

*Kid Icarus did have such a push, and the game only did modestly well by Nintendo standards.

I've seen otherwise rational posters get upset at the notion of Nintendo getting exclusivity on certain franchises.

And not just now, even back in the Gamecube days. The Resident Evil exclusivity thing made a lot of people mad.
Capcom 5 was worse. :P
 
I think it was a big miss to have a game developer as the president. he is good at getting the right product strategy but had to grow a lot more when the wii was successful A LOT. nintendo still only has about 5000 employees thats way too little. they could have bought companies like midway, tecmo, THQ, eidos when those were financially struggling and would have gained a lot of IP and more importantly people but they lost those opportunities (just recently they missed to buy vigil which is baffling considering the weak third party support of nintendo.)


nintendo needs a financial guy that has a lot of M&A experience as at the moment getting a steady stream of first party games .
 
They better get used to that, because we are probably going to see more of this from Nintendo.
And we need to see it, too.

The Wii U needs as many exclusives as possible, for differentiation purposes. Multiplat games should be seen as a bonus.

With enough "you can't get this anywhere else" sorts of games, the Wii U could be a success as an alternative system (like the Wii but with a different approach).
 
I think it was a big miss to have a game developer as the president. he is good at getting the right product strategy but had to grow a lot more when the wii was successful A LOT. nintendo still only has about 5000 employees thats way too little. they could have bought companies like midway, tecmo, THQ, eidos when those were financially struggling and would have gained a lot of IP and more importantly people but they lost those opportunities (just recently they missed to buy vigil which is baffling considering the weak third party support of nintendo.)


nintendo needs a financial guy that has a lot of M&A experience as at the moment getting a steady stream of first party games .

I don't have any more insight than the next person here, but allowing Vigil to dissolve does seem a damn shame. I mean, you had a developer who was seemingly enthusiastic about the hardware and already had experience with it. I'm sure the resources and know-how could have resulted in producing a quality exclusive Wii U title in a reasonable span of time.
 
Yeah he's done.

I hope he keeps doing Iwata Asks at least!

Yeah, a better launch than the last two non-Nintendo consoles, a return to profit and much lower operating income loss despite a new console that is being sold at a loss.

Yeah, Iwata screwed up.

People seem to forget that these things don't fix overnight
 
I am surprised on how people fail to understand that now third party are a much bigger deal than the past... nowadays since those big games are big risks for third party companies (unlike the past) these want nothing more than another machine to cheaply port the games... if you have a highly different console that would cost more money to make those game instead of make them more profitable.

Surely the logical solution there, then, is to design towards a reasonable lowest common denominator? The amount of power you require is not set in stone at the design phase.
 
Funding new studios is high risk (you gotta pay for all those new employees, facilities, etc for one), but is it necessarily high reward?

We all (and I'm including myself) rant on that if Nintendo appealed more to core gamers or Western gamers, that it would solve their current problems. Such a massive investment would be an unprecedented move on their part and there's no way of telling which way it could swing. Companies such have Capcom have been attempting this over the last generation and the results have been hit or miss. I'd like to believe that Nintendo are more competent, but to see it as anything less than a huge risk is making light of the matter.

If Nintendo were to do this, they would absolutely need to bring in new management at NoA that has extensive experience in US game development. If NCL tried to do it themselves they'd probably screw it up.

*edit* As a lower risk alternative, Nintendo could collaborate more with existing western third party developers on western-focused exclusives. Sort of like how they got Rayman and Zombi U, but on a larger scale.
 
The more I read the thread's title the more it annoys me, it makes it look like Iwata is going to resign right now, which couldn't be farther from the truth.

Of course Iwata haters are having a field trip in the thread because of it, without actually reading the op in question, and spouting complete nonsense to support Iwata stepping down.
 
I have nothing against Iwata as a person, but he's not the man that should be in charge of Nintendo.

They need more forward thinking, or heck, current thinking - like implementing an account system that everyone else already have.
 
Reads thread title

*reads quotes*

Oooooh

Nothing to see here
Yeah, pretty much.

But about slow product sales -- and I have no thoughts on this myself -- are game prices part of the problem? Or are they a necessary evil? Would lower game prices sell more games, or is it a moot point next to the colossal mindshare of smartphones and tablets? If lower games did sell more, how much more would they need to sell to be more profitable than the current model?

I know 99-cent games are in many ways a race to the bottom, as Iwata once expressed, and I'm not advocating it, but I'm curious if something in-between would be fruitful. Any thoughts? Is the price of games part of the problem?
 
I've seen otherwise rational posters get upset at the notion of Nintendo getting exclusivity on certain franchises.

And not just now, even back in the Gamecube days. The Resident Evil exclusivity thing made a lot of people mad.

True. It is weird to see rational people having meltdowns like that.

And we need to see it, too.

The Wii U needs as many exclusives as possible, for differentiation purposes. Multiplat games should be seen as a bonus.

With enough "you can't get this anywhere else" sorts of games, the Wii U could be a success as an alternative system (like the Wii but with a different approach).
I agree. Let's hope that there are things going on behind the scenes that will ensure that the Wii U will have a good amount of those type of games. We already know that Nintendo has great relations with Capcom, Platium, and Ubisoft. But they can't stop there.
 
Yeah, pretty much.

But about slow product sales -- and I have no thoughts on this myself -- are game prices part of the problem? Or are they a necessary evil? Would lower game prices sell more games, or is it a moot point next to the colossal mindshare of smartphones and tablets? If lower games did sell more, how much more would they need to sell to be more profitable than the current model?

I know 99-cent games are in many ways a race to the bottom, as Iwata once expressed, and I'm not advocating it, but I'm curious if something in-between would be fruitful. Any thoughts? Is the price of games part of the problem?

Definitely. People have been spoiled by the pricepoints on iOS and other mobile platforms. As such, they're always finding that prices that allow the developers to turn a profit for full games are too expensive, so won't buy.
 
I think it was a big miss to have a game developer as the president. he is good at getting the right product strategy but had to grow a lot more when the wii was successful A LOT. nintendo still only has about 5000 employees thats way too little. they could have bought companies like midway, tecmo, THQ, eidos when those were financially struggling and would have gained a lot of IP and more importantly people but they lost those opportunities (just recently they missed to buy vigil which is baffling considering the weak third party support of nintendo.)


nintendo needs a financial guy that has a lot of M&A experience as at the moment getting a steady stream of first party games .

I think the biggest problem that you did identify a little bit here is that, because he was a game developer, that may be why he gave guys like Miyamoto, Sakamoto, EAD Tokyo, and the Zelda team so much time to do whatever they wanted to do. Zelda took 5 years and was cel-shaded again, but they kept adult Link this time, Metroid got its movie, and Super Mario Galaxy 2 was made... and took 2 years (it was suppose to finished in 1 year), and none of these games did much for Wii hardware sales. The titles themselves underperformed compared to their predecessors as well.

Too much time wasted on these games that should've been out sooner or shouldn't have been made at all. And now Wind Waker HD is coming out. How will its sales compare to Ocarina of Time 3D's, which was on the sick 3DS. Stay tuned!
 
This is really bad if they choose a businessman to run the company instead of Iwata - say goodbye to shit like Kid Icarus and their lower tier titles that don't make much money.

I think the biggest problem that you did identify a little bit here is that, because he was a game developer, that may be why he gave guys like Miyamoto, Sakamoto, EAD Tokyo, and the Zelda team so much time to do whatever they wanted to do. Zelda took 5 years and was cel-shaded again, but they kept adult Link this time, Metroid got its movie, and Super Mario Galaxy 2 was made... and took 2 years (it was suppose to finished in 1 year), and none of these games did much for Wii hardware sales. The titles themselves underperformed compared to their predecessors as well.

Too much time wasted on these games that should've been out sooner or shouldn't have been made at all. And now Wind Waker HD is coming out. How will its sales compare to Ocarina of Time 3D's, which was on the sick 3DS. Stay tuned!

It really is sad that some amazing games got released under him (SMG2 isn't the best 3D platformer made for no reason) but that never translated into sales.
 
Yeah, pretty much.

But about slow product sales -- and I have no thoughts on this myself -- are game prices part of the problem? Or are they a necessary evil? Would lower game prices sell more games, or is it a moot point next to the colossal mindshare of smartphones and tablets? If lower games did sell more, how much more would they need to sell to be more profitable than the current model?

I know 99-cent games are in many ways a race to the bottom, as Iwata once expressed, and I'm not advocating it, but I'm curious if something in-between would be fruitful. Any thoughts? Is the price of games part of the problem?
It'd be nice for them to drop prices on their downloadable retail games. However, retailers would be upset with Nintendo if they dropped prices on either end.
 
Here's some western studios Nintendo has supported in some capacity


Kuju - Battalion Wars series is great, but didn't sell
Monster Games - ExciteTruck/Bots aren't huge sellers, neither was Pilotwings Resort


Some of these devs have great potential, but Nintendo has to find the right projects for them. The games that get them the most money can already be done by their in-house groups.

What happen with these series really annoy me. Nintendo sent out the BW and Excite series to die in the end. Excite Truck only faired better because it was a launch game. Pilotwings possibly as well but I doubt it did well. No one even knew Excitebots had even been released! They did nothing with Battalion Wars 2 on the Wii and to this day I feel that game had a lot of potential and could have been successful had it been given some kind of push. This is part of why people have issues with Nintendo of America or Nintendo in general when it comes to the west.

Forget working with western third party developers/publishers. They need to get their own damn house in order first! I wouldn't be surprised if third party publishers even see this themselves and that is part of why they don't want to have anything to do with Nintendo hardware. That Nintendo themselves don't even care about their own games that might closely resemble theirs. That they have had opportunities to cultivate markets for certain games but don't even care to themselves so why should they (third parties) might be the thought process.

I really want to know for certain what NoA can do and can't do. Do they have any responsibility to market and advertise Nintendo's games? What is that damn building of theirs even for if they aren't allowed or tasked with doing anything of any significance?
 
The problem is they only have 1. They need an Iwata in the west too. They also need to start letting their developers grow as a brand, instead of making Miyamoto the face of everything that comes out of their different studios. Retro is the only one who has any brand identity, and that's only because people on GAF and other boards have built them up themselves.

Yes, this I agree with it. I cannot say the same things about NOA. Though I know a few people over there and they are all good people, they either don't really have much authority and that needs to change. Also, they need to take more risk. And put their agencies in review. But that's just my opinion.
 
Iwata is a man of character. It's a rare trait to find in executives, and most of the reason Nintendo has hung on so long.

Absolutely. I think it's an illustration of one of the largest differences between Eastern and Western cultures.
 
Also, so many of you live in these bubbles. Nintendo cannot just go around spending all this money on studios and IP and securing so many exclusives. It's really bad ROI for them.

The truth of the matter is, their fanbase just doesn't support it. And they know this.
You can bitch on forums all you want, but these games just don't sell. You have to look at the return third parties get for their efforts, and even non-traditional first party games struggle to find sales. Games are expensive. Start buying before you start condemning, and you'll get more :)
 
I like Iwata. I don't know if he has the know how to dig Nintendo out of their current position without doing the things they most definitely do not want to do, but I'm not sure many/anybody does. But I like him. I like listening to him speak. I am convinced he comes from an honest, software quality first place. And I think he has a good head on his shoulders for keeping the games fun at Nintendo.

If he were to resign, it would be nice if he stayed on, at the very least to host Nintendo Direct. I like him as a face of Nintendo.

He has also been increidbly humble witih Nintendo's struggles. The amount of times he has issued apologies on behalf of the company's performance, and actually issued punishments, makes me wish we had more businessmen like him.

In 2011, he apologized for the 3DS's sluggish performance and announced he would be reducing his pay by 50%, along with the rest of the senior executives at Nintendo.

Once 2012 came around, it turns out he wasn't joking: The results released by Nintendo revealed Iwata had cut his own pay by 67%.

Iwata led Nintendo during the DS and Wii eras, and those were huge booms for them. And I think he recognizes that they missed a golden opportunity to experience explosive long term growth similar to that of an Apple or a Google, not because their underlying philosophy or ideas were unsound, but because Iwata and the rest of Nintendo failed to anticipate the resistance of the rest of the industry. They figured that as long as the hardware sold well, the developers would follow, as that has always been the case.

The problem is that the hardware arms race (which Nintendo views as stiffling over the long term) has made it so that publishers need to incur so many sunk financial costs that they can't afford to change development platforms on a year's notice anymore. It would kill them, as they can barely support themselves as is. Nintendo correctly judged the consumer side of the market with the Wii (that they did not NEED a hardware product to have moer and more power in order to purchase it), but they absolutely failed to recognize the plight faced in the developer/publisher side. And that's why Nintendo finds themselves in the current predicament. Not because their ideas were unsound, but because they failed in the execution of inter-business partnerships and relations. And that does fall on upper management rather than lower or middle maanagement.
 
Am i the only one who thinks its clear as day that the only way Nintendo will ever solve this is by funding new western studios? if they stuck to it they could show third parties that their system will really be flooded with core games for the western gamer/dude bro gamer....that's the only way, these supposed crossovers and deals won't do nothing....they need to step up...

There's an implication here which suggests that for some reason, a Japanese studio is inherently incapable of making a huge hit that'll sell in the west. I'm not comfortable with that statement.
 
Happened in the GC era for most western titles that weren't too compromised by the Mini-DVD storage limitations.

Yeah, there's a lot of revisionist history on that point. GC missed out on a number of multiplatform titles that gen, and lost a fair amount of multiplatform support over the course of its lifespan (largely due to poor sales of such titles, even relative to userbase size), but it still got far, far more Western multiplats than Wii U seems on track to get at this point.
 
There's an implication here which suggests that for some reason, a Japanese studio is inherently incapable of making a huge hit that'll sell in the west. I'm not comfortable with that statement.

It might be harder, not impossible, do to the cultural makeup of the development staff if you want to it appeal even more so to a western audience. That's the key difference I see. It's why RPGs are different depending which region of the world they come from I believe. JRPG, WRPG, and European RPGs.
 
I really want to know for certain what NoA can do and can't do. Do they have any responsibility to market and advertise Nintendo's games? What is that damn building of theirs even for if they aren't allowed or tasked with doing anything of any significance?
myself said:
The games they choose to market with cartoons, etc. are successful beforehand*. To be fair though, I think their non-Pokemon toy/cartoon marketing sucks.

Indeed. NoA even moved their marketing department from Redmond to San Francisco. Should they market their more obscure games here? Yeah.

If we're distributing responsibility to the respective branches, NoE would be responsible for Battalion Wars. I don't know much about them except they localized some Japan-exclusive games.

I just want to know what they're doing with NST. They hired a bunch of guys supposedly, but they've been in limbo for years too.
 
Great post. It annoys me that Iwata's defenders try to support this idea just to say Nintendo isn't wrong.

Abandoning hardware power was one of the primary reason on why Wii life went downhill. I even think people way overestimate Iwata's smartness because if he was so smart as everyone think he is, he wouldn't repeat the same mistake again with Wii U and not give proper power for it.

And this the "Nintendo can't compete" excuse to not support strong hardware is simply ridiculous because always in Nintendo's history it relied on hardware power on all of it's systems, the only time they didn't follow this direction was with Wii and, as a long-term strategy, it revealed to be a mistake.

Yeah, yeah, the average Iwata defender will show up and say Nintendo failed with N64 and GameCube and they can't compete on the hardware power. But to put the blame on the failure of N64 and GCN solely on hardware power, which is the least of the problems for both of them for their respective "failures", is a complete narrow and simplistic overview of the facts.

Okay, but if the Wii was on par with the other consoles they couldn't have released it at $250 and it never would have taken off like it did. Then we'd get the same excuses about the controller being different, and it still wouldn't have gotten the same level of support.
 
Nintendo had a significant amount of western second-parties until the GCN days. There was Silicon Knights, Rare, Factor 5 and Left Field Productions. DMA Design and LucasArts were part of the Nintendo Dream Team and Acclaim and Midway gave strong support it with a lot of exclusive titles.

This changed, however, when Iwata took the office and the situation got reverted. They got japanese support, but lost western.
This is true, and may in fact be a long term strategy for the company. If it is indeed planned, I'd say they're doing a pretty good job at it actually.

Two of Japan's biggest franchises are now Nintendo exclusive, they've returned to dominating the handheld market, and there's a good chance they will be able to gain market share in the console space, as Japanese developers continue to struggle with rising costs and bigger projects.

Meanwhile large scale collaborations with 3rd parties in Japan are on the rise (see Namco, Tecmo) and funding of exclusives from smaller developers also appears to be headed in the right direction (as evidenced by Nintendo funding reasonably successful projects from Mistwalker, Ganbarion and Platinum). Last but not least is the amount of growth the company has seen during the last decade. New studios, new buildings, new teams, you name it.

Also lets not forget Sony is in the worst position its been in years, arguably since the launch of the Playstation brand.

I agree we need more western games (especially exclusives) on Nintendo consoles, but regardless of whether or not you agree with this strategy, you've got to acknowledge the strides they've made in their home territory.

Where's my Grand Theft Auto?
was going to say China Town Wars but someone already said it.

Handhelds are nice but what about console ones?
Well, there's Lego City Stories coming this March. It's an exclusive too..

- Production schedules and fees. You generally have to go through Nintendo for manufacturing and the queues can be maddening for a third party. Let's say you're, I don't know, Tecmo-Koei. You release Warriors Orochi 3 Hyper with a small production run and, because of some weird confluence of circumstances, it ends up being this HUGE seller. People are talking about it on the internet, CNN is doing stories about it, Ellen is playing it with Justin Bieber on national TV. Your problem now is, to get a new printing, you have to wait in the queue for Nintendo to print Black Ops II, Bayonetta 2, Wonderful 101, etc. You're not big enough for an emergency exception and suddenly all your popularity is waning because you can't fulfill the supply. (Though Tecmo-Koei, at this point, probably could get an emergency exception from Nintendo.)

This is an interesting point I've never heard brought up before. Can you elaborate on how Nintendo is different than Sony or MS in this respect?

- The Nintendo Software Paradox. Nintendo systems sell based on Nintendo games. Nintendo also wants third parties to further sell Nintendo hardware and bring licensing fees back to them. Third parties don't want to put games on the system where they have to compete for dollars with Nintendo games, which everyone buys Nintendo systems for. If Nintendo stopped making Nintendo games, Nintendo hardware wouldn't sell, and third parties would not put games on the system. To put it another way, what was the big third party game for the 3DS in winter of 2011? There was none, because up until that point, there was no big Nintendo game, and at that point, there were two huge Nintendo games and no room for anything else. Third parties are only now finding some room on the system and there's still basically none in the west.
I'd like to point out that there has been progress in this area. Just Dance, Monster Hunter and of course Dragon Quest are all 3rd party system sellers. (Iwata even went as far as recognizing Just Dance's influence on Wii sales, calling it the key holiday title in 2011 IIRC). And collaborations on exclusive titles such as Scribblenauts Unlimited and Lego City Stories (possibly Rayman Legends as well) are attempting to continue this trend.
 
Also, so many of you live in these bubbles. Nintendo cannot just go around spending all this money on studios and IP and securing so many exclusives. It's really bad ROI for them.

The truth of the matter is, their fanbase just doesn't support it. And they know this.
You can bitch on forums all you want, but these games just don't sell. You have to look at the return third parties get for their efforts, and even non-traditional first party games struggle to find sales. Games are expensive. Start buying before you start condemning, and you'll get more :)

Yeah not an exact comparison, but this is kind of what Sony did this gen... and it hasn't really been paying off for them.

They also tried weird stuff like Q-Branch during the Cube era, which didn't bare much fruit for them.
 
I am no Anal-yst. But perhaps if Nintendo had more 1st party available games on WiiU at launch it would be better.

Seriously in the coming months all I know it's releasing is Rayman [not 1st party but at least exclusive] in a month and Pikmin3 (when is ready)
 
Surely the logical solution there, then, is to design towards a reasonable lowest common denominator? The amount of power you require is not set in stone at the design phase.
It's not that simple. I think (correct me if I'm wrong, insiders) this is more or less what goes through a developer's head when making those decisions early in a system's life cycle:

1. Our games appeal to a relatively tech-savvy, enthusiast audience with a certain expectation of what cutting edge titles should be like.
2. As such, we need fairly powerful lead development hardware to deliver on our creative vision and our fans' expectations.
3. Nintendo's system is so underpowered that downgrading our games enough for them to be playable is either downright impossible or requires a significant effort on our part.
4. Even if we do somehow manage to deliver on the above, our enthusiast fanbase will probably not settle for a noticeably inferior port and buy the PS/XB versions anyway.
5. Therefore, serious development for a severly underpowered Nintendo system is a waste of our time and resources.

Until the industry shifts from its focus on huge blockbuster titles, that line of thinking won't be entirely wrong and Nintendo will have to adjust if it doesn't want to be pushed out of the market even further.
 
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