Colonel Mustard
Banned
Not even directly comparable. Like at all.
Nintendo wants to expand into health, learning, and other quality of life products
- Thread starter EmCeeGramr
- Start date
Not even directly comparable. Like at all.
Aquamarine
Member
Hey, Sega Sammy makes the majority of its revenue outside of video games. And Konami does well with their non-gaming initiatives.
This platform would have to be an amazing success for that to happen and even then I'm not sure if Nintendo would want to give up what they could make from selling software. There's also the fact that the DS was basically an improved Gameboy so it made sense to ditch that.
Mysterious
Banned
I disagree with you, and have altered your post slightly to show why.
I really don't see how the two are comparable at this stage.
Ahem.
I think you missed the part where Nintendo's fucking up because they're not going mobile/3rd party/dropping gamepad/following Microsoft and Sony.
Nothing they could do outside of these four things could possibly work for them! Better start digging the graves, Nintendo's dead and buried. They didn't read the many threads here saying exactly what they should be doing! After all, we're all master businessmen in the future gaming industry!
This isn't a big deal and gives them a new source of revenue. People need to chill the fuck out and stop reading too much into exploring a new source of income.
I'm pretty sure that Nintendo only brought out the third pillar stuff for DS because they realized that they could sweep this crazy dual-screened thing under the rug if it wasn't successful.
When it became the second-best selling video game console of all time, they didn't need to worry about that anymore.
On the other hand, here we have a bunch of completely new stuff which, if the past year has taught me anything, is going to flounder. Different situations.
Usually Right
Banned
Likewise people need to become comfortable with the idea that if Nintendo are searching for revenue streams outside of gaming it may be because they see their revenue streams within gaming drying up.
JennyTablina
Member
Been reading Florent Gorges' History of Nintendo which I got for Christmas, and considering how Nintendo was in Yamauchi's day - I was reading though their experimental years the other night, and wondering if they were coming to the same impasse with video games, as they found themselves in years ago with Playing Cards and Toys.
Nintendo pretty much existed in the beginning to sell playing cards and hanafuda, Disney cards gave them their break, but the market dried up soon after. They then tried a number of things and found themselves with a few hit toy products, which eventually lead into video games.
They've been major in the video games market for about as long as they were for playing cards. While 3DS sort of recovered, every attempt to push the Wii U has generally been rejected by all markets.
Their moves in 2013 kind of echo their intentions for the next couple of years, outside a few gaming titles, their major pushes was Wii Fit, Wii Sports Club and social games. So this is kind of already happening. I guess the idea is to move Wii Fit ect. to mobile? Wii Fit U is genuinely excellent so I can understand the desire to make it more sellable to people, seeing as people just don't want to invest in a console alongside it.
It's kind of sad because it does mean gaming is eventually going to stop being it's focus as much as it has been in the last 20 years. I imagine they won't stop making genuinely fun games, but your more likely to get a Layton style title, rather than something like Smash Bros moving forward.
Nintendo pretty much existed in the beginning to sell playing cards and hanafuda, Disney cards gave them their break, but the market dried up soon after. They then tried a number of things and found themselves with a few hit toy products, which eventually lead into video games.
They've been major in the video games market for about as long as they were for playing cards. While 3DS sort of recovered, every attempt to push the Wii U has generally been rejected by all markets.
Their moves in 2013 kind of echo their intentions for the next couple of years, outside a few gaming titles, their major pushes was Wii Fit, Wii Sports Club and social games. So this is kind of already happening. I guess the idea is to move Wii Fit ect. to mobile? Wii Fit U is genuinely excellent so I can understand the desire to make it more sellable to people, seeing as people just don't want to invest in a console alongside it.
It's kind of sad because it does mean gaming is eventually going to stop being it's focus as much as it has been in the last 20 years. I imagine they won't stop making genuinely fun games, but your more likely to get a Layton style title, rather than something like Smash Bros moving forward.
This is super interesting to me. Nintendo hates the idea of video game commoditization, wants to continue to make creative products with a reasonable ROI, will not engage in bidding wars for third party interests, and understands that MS/Sony have got them beat in what the majority enthusiast market is all about. They've always said they are uninterested in the video game arms race and that's exactly what the industry is now, with seemingly no room for a company like Nintendo anymore.
I've thought for a long time that there is no way Nintendo can attract the kind of gamers that MS/Sony do and they seem to think the same thing. Or maybe they're just taking a deep breath and embracing it now? This kinda plan will allow them to make hardware that completely ignores what their current closest competitors are doing, make all the niche games they want, and if they do it correctly bring in a huge market for an entire new line of software completely unintended for the traditional video game enthusiast, while not necessarily excluding them. With any luck, they'll stop being compared to MS/Sony at all and then everyone can finally stop telling them how to fix their company by being a watered down imitation of what those people actually want.
The only reason people buy Nintendo hardware is for Nintendo games right? The only people that buy Nintendo hardware are hardcore Nintendo fans right (and grannies/casuals/kiddies)? So what are they losing if they remove themselves entirely from the traditional industry and attempt to engage a brand new one? They can still make Mario and Zelda and all that, and their hardcore Nintendo fan audience will still buy it no doubt.
Wouldn't that be what many people here want anyway? It's not Nintendo going third party, but we should get much cheaper hardware through this and now Nintendo won't even have to be mentioned in a conversation about video games. Which seems to be what many in the enthusiast market would prefer anyway. The games won't be on the cutting edge of tech and effects, but they aren't now so what's the difference?
That being said, what the fuck is non-wearable technology?
I've thought for a long time that there is no way Nintendo can attract the kind of gamers that MS/Sony do and they seem to think the same thing. Or maybe they're just taking a deep breath and embracing it now? This kinda plan will allow them to make hardware that completely ignores what their current closest competitors are doing, make all the niche games they want, and if they do it correctly bring in a huge market for an entire new line of software completely unintended for the traditional video game enthusiast, while not necessarily excluding them. With any luck, they'll stop being compared to MS/Sony at all and then everyone can finally stop telling them how to fix their company by being a watered down imitation of what those people actually want.
The only reason people buy Nintendo hardware is for Nintendo games right? The only people that buy Nintendo hardware are hardcore Nintendo fans right (and grannies/casuals/kiddies)? So what are they losing if they remove themselves entirely from the traditional industry and attempt to engage a brand new one? They can still make Mario and Zelda and all that, and their hardcore Nintendo fan audience will still buy it no doubt.
Wouldn't that be what many people here want anyway? It's not Nintendo going third party, but we should get much cheaper hardware through this and now Nintendo won't even have to be mentioned in a conversation about video games. Which seems to be what many in the enthusiast market would prefer anyway. The games won't be on the cutting edge of tech and effects, but they aren't now so what's the difference?
That being said, what the fuck is non-wearable technology?
I don't think anyone disagrees that handhelds are shrinking and Wii U failed. But this doesn't mean its the end of the world for Nintendo. People can be so goddamn short sighted in thinking that if they just magically crushed their current platform and rolled out a new one that could somehow magically compare to the other two on the market will cause 3rd parties to mystically flock back to it in droves and put Nintendo back on top within a year. It's just not financially, let alone logically possible.
What gets me the most is the fact that Iwata announced that VC hurdles have been fixed and they're working on a unified OS for all their future hardware, yet no one's even remotely interested in talking about this. Nope, let's just harp on the fact that they decided against our suggestions of infinite wisdom and shake those death rattles. It makes very little sense to me that almost no one's bothered to even consider that this could be an ok thing for the company while not completely burying their place in gaming.
Imperfected
Member
You could say it's a multi-trillion dollar industry that contains some titanic bullies that put Sony to shame, that also has an effective R&D budget - due to universities, government grants and programs, etc. as well as outrageously huge pharma corps - that dwarfs that of the video game industry by an absolutely absurd degree, and that you'd have to be some kind of simpleton to think it's a "blue ocean" rather than the thirteenth century Jerusalem of the economic world.
It's just another case of Nintendo being so hopelessly focused on Japan that they've lost the plot. Japan is graying, the health care industry in Japan is growing at an out-of-control pace as a result, and Nintendo still has trouble thinking globally so they're just going to try and cash in on an opportunity they (think they) see in their backyard.
Aquamarine
Member
Konami's success in the Health and Fitness industry:
Now imagine if Nintendo was able to make an extra 35% of consolidated net revenues if their QOL initiative takes off.
It could supplement their earnings nicely.
It seems to me that Nintendo realized that the Wii Fit crowd does not so much buy games for game consoles, but they do buy devices. I expect this third pillar is to create single-serving devices to latch onto the Brain Age and Wii Fit crowds who generally prefer to buy new incarnations of a device. These are people who set out to buy the latest incarnation of an iPad or iPhone. With a somewhat regular schedule, say a new Wii Fit device every two years or so, Nintendo could really clean up and have a consistent revenue stream.
These devices while not only featuring the Nintendo branding, can also serve as IP introductions. Especially if Nintendo is branching out much further than this as far as licensing goes.
These devices while not only featuring the Nintendo branding, can also serve as IP introductions. Especially if Nintendo is branching out much further than this as far as licensing goes.
exactly its not like the DS didnt play GBA games or something
Neff
Member
Absolutely. People are profoundly determined to despise this company.
Usually Right
Banned
People aren't going to be that excited at Nintendo managing to create an account system on par with shit from 10 years ago. I think the fact they even have to mention it is a cause for eye rolling.
The issue isn't that a system doing poorly = there's no chance for a follow up to be successful, it's that the entire industry of portable gaming is changing drastically in a way that doesn't fit the philosophies that Nintendo have succeeded with for the last 20+ years. People are becoming less interested in dedicated devices when they have a mobile phone that can replicate the experience. For most people, a portable game doesn't need to be ALBW. Candy Crush is fine.
Take away portables and how can Nintendo compete in the home console business? They need to come up with a Wii style crossover gimmick that will sell a piece of hardware to people. That is their only option and they know it. The problem is they have 5 year cycles and one bad product (Wii U) condemns them to years of failure. That isn't a healthy industry to be in when your success is dependent on hoping gimmicks take off. In that sense leaving gaming and moving on to other industries where failure is just writing off a product and releasing a new one 6 months later is a smart move.
so their just gonna stop making billions of dollars just because they make few extra millions of dollars? umm ok
Nope not gonna keep both and rack of the money just drop the one that makes the most money ok yea sure
Interceptor
Banned
Yep, you missed it.
ShineALight
Member
Great post, but I can't agree that their casual offerings were where Nintendo's major push was in 2013. I can't think of anything they did that could accurately be described as a major push, but I felt like they expected the most out of 3D World and WWHD. Wii Sports and Wii Fit U felt like quietly released afterthoughts in comparison, but there's definitely a degree of subjectivity at play there. Certainly their 2014 offerings on the console front are more "core" oriented than anything.
Usually Right
Banned
Haven't they lost money in gaming the last few years?
I've not kept up to date on the specifics.
Vampirolol
Member
This doesn't sound like a bad idea at all.
Handhelds are shrinking, but given sales for Animal Crossing/Pokemon/Monster Hunter/etc I don't think its dying anytime soon. The big thing that came out of this presentation was that they're consolidating their operating systems across all their future platforms, similar to iOS on multiple Apple devices. The other thread brings up an interesting point about this, Nintendo being able to make various devices to support various markets but maintain built in support because of a unified ecosystem.
Konami's success in the Health and Fitness industry:
Now imagine if Nintendo was able to make an extra 35% of consolidated net revenues if their QOL initiative takes off.
It could supplement their earnings nicely.
Thank you, this could help Nintendo a lot, if people dont care about it they can just ignore it, I bet most didnt even know Konami was even in that business let alone making that much money
Aquamarine
Member
Yes, for the past three years. Despite it all, their core strategies haven't been sufficient to earn an operating profit.
That's why Iwata announced this strategy today. He wants to diversify revenue streams to help out the company's finances, among other gaming-related initiatives.
Aquamarine
Member
The only caveat to Konami is that, while it brings in a lot of revenue, their Health and Fitness approach is relatively low-margin...but it's a stable market and is currently one of their profitable ventures. That's more than Nintendo can claim with three consecutive years of operating losses.
Nintendo would presumably approach QOL in a way that would be more significant to their overall profits.
Non-wearable? What do they mean by that?
While not personally interrested in their QoL endheavors, I want to see what they'll come up with. I'm still confident they can produce something that will take ahold of the masses' mindshare like the Wii did.
Dr Mario for everyone.
While not personally interrested in their QoL endheavors, I want to see what they'll come up with. I'm still confident they can produce something that will take ahold of the masses' mindshare like the Wii did.
Dr Mario for everyone.
I'm not sure if I understand their approach but one thing I'm worrying about is that their direction will become more japan-centric. I can see it being successful in Japan, but demand could be different between different cultures and regions.
For example kinect isn't something suitable for all households, it's not something you could rely on globally.
For example kinect isn't something suitable for all households, it's not something you could rely on globally.
Not at all.
The real reason is this is a gaming forum and Nintendo basically threw their hands up in the air and said "We're going to have to grin and bear it" in terms of video games.
The QOL is not a bad idea and could help them out a lot in terms of revenue, but what has others panicked is it's unclear if it'll take away efforts to save the Wii U / to a lesser degree improve the 3DS even further...which is what a lot of people here are interested in.
Seriously, Neff, what did you hear that was good for gaming specifically?
of course it dropped, they didnt reveal they are going to release all there games on smart phones
Thats understandable, but the hardcore gaming info was never gonna come at the investors meeting, thats for the business as a whole, a Nintendo Direct and E3 is where the gaming stuff is gonna come and explained in terms understandable to people on gaming fourms
Aquamarine
Member
As Japan's population is aging, health and quality of life is a huge thing in the country.
In terms of Nintendo attracting non-gamers to its business, it could do wonders domestically.
Neff
Member
They've equally lost/gained billions for the last 3 years with a slight overlap of loss. The losses typically come from hardware development, and the profit typically comes from software sales. If they stopped making games, they would lose many billions and have little to show for it while waiting for their new health hardware business to profit. Which would be an orgy of stupid.
Wii U OS refinements and account implementation are things that people have been demanding, as is
Iwata said:
But apparently it's not enough, since we've heard almost no positive reaction today.
Aquamarine
Member
Especially in Japan. Nintendo's Japanese software business is ridiculously high-margin for the company.
I'm glad Nintendo is focusing on the needs of the Japanese market.
Usually Right
Banned
The games can't exist without the hardware that's losing them money so I don't really see how this is a healthy model they should stick to.
Honestly I like playing a Nintendo game once or twice a year but if I was them I guess I'd probably explore other options too. It's difficult for them to remain relevant while having to create low budget hardware and software.
Good explanation, I didnt know a good way to explain it like you did
Imperfected
Member
Not particularly surprising. They probably would have eaten a much larger loss in share value without the buyback, as those extra shares up for grabs would have probably resulted in a race to the bottom when it comes to selling off stock.
Frankly, even as someone who knew more or less what to expect from this going in, I found the whole thing massively disheartening.
I know this was directed at Neff, but I'll answer this.
Unified OS, finally utilizing NFC for gaming, VC hurdles cleared and expanded to NDS game, exploring more partnerships/possible IP licensing to 3rd parties, hinting at expanding NNID as a unified account system (I wish he elaborated on this more.)
What were people honestly expecting? That they were gonna just ditch the Wii U or drop the gamepad? Or maybe even more drastic, going mobile/3rd party? More people are too busy being upset at what wasn't announced rather than looking at what was.
Graphics Horse
Member
So vitality sensor still coming? But as a stand alone. And maybe a standalone Wii Fit meter and that sort of thing. They could make a stand alone balance board too!