Sega says no room for small scale developers on PS3 or Xbox 2, only on Nintendo!

moondance

Member
Interesting interview with the COO of Sega.


Q: What will be the major events for the industry in 2005?

A: With the introduction of next-generation consoles such as the Xbox 2 and PS3, software design houses will be required to put more manpower and capital into developing new games to cope with demand. So I think that there will be no room for small-scale design houses to survive in the software market for these consoles. However, small-scale software companies may be able to shift their efforts into developing games for handsets or Nintendo consoles.



Read the entire article here:


http://www.digitimes.com/news/a20041209A7044.html
 
Those small scale studios can probably sell more units of their games with budget price on PS2 years after the PS3's launch than on any Nintendo console. PSone has pwned Xbox, Cube and GBA in terms of software sales in UK last year.
 
I wonder what he meant. Do developers already have an idea of what Nintendo is planning for their next console or is his comment more about company's supposed capitalizing on Nintendo's "niche" status?
 
This is the second game company that I have read that mentioned Xbox2 and PS3 in the same breathe, but refear to Nintendo has an afterthought.
 
Sega is right. I definitely think small devs will look to the DS, and I'm not at all suprised that Sega thinks Nintendo will be the place for them on the console side.

Something I don't think anyone has mentioned about the Revolution is how it might be revolutionary in terms of developer philosophy. Remember what the DS stands for to Nintendo? Developers System. Remember how Nintendo said to look to the DS for hints about the Revolution? Everyone assumes new ways to interface on the Revolution, but there could also be new ways to handle development, such as extremely low or no license fees, subsidies and who knows what.

I think that Nintendo realizes the importance of small devs, just look at Wario Ware. A very small team makes one of the best, most original titles.

If Nintendo starts to nuture small devs, only good things will come. If Nintendo is seen as a haven for small devs, only good things will come. The fact that Sega thinks this is the case is quite interesting.
 
"YEAH, baby! PS3 and XBOX2 gonna rock the fucking house! You'll be playing and this bitch will be IN YO' MIND! I'm talking, you'll be in San Andreas all over again, 'cept these niggas really be beating yo' ass to the ground! Blood every-gah-damn-where! Oh yeah, and we'll probably port Sonic Adventure to that new Nintendo thingy to save some dough."
 
Every gen...

"Ohhh, PS2 is so expensive and big...only the big studios can do anything good."

Heck, in the case of XBOX, one of the most impressive looking games still today (Wreckless) was created by an incredibly small team (less than 10 people, I believe).

such as extremely low or no license fees, subsidies and who knows what

With Nintendo?!? You've got to be kidding.
 
If the revolution turns out to be the "independent" system as opposed to the xbox and ps3's super big budget mega games. I'm all for it.
 
Q: Some have criticized Sega’s sports games as being too similar to those from Electronic Arts (EA). Will this situation continue?

A: We also noticed this problem and so decided to reorganize our research team in November of this year. We will focus our development on games that are different from EA games in style and features.

Yup, different because no more NFL players in your games. How else are your games gonna be different though?
 
Guns N' Poops said:
Those small scale studios can probably sell more units of their games with budget price on PS2 years after the PS3's launch than on any Nintendo console. PSone has pwned Xbox, Cube and GBA in terms of software sales in UK last year.

Working Designs, Atlus, Nippon Ichi, and numerous other small time studios, get a big boost out choosing to develop for the PS2 not because it's Sony, or "mainstream", or "mature", but because it has the largest installed userbase. Their margin of error releasing titles is unreally thin; being Box or Cube exclusive would mean not enough fans, and multi-platforming is too expensive in time and money.

Now, if Sega thinks that the Revolution and the DS will be the leader in sales next go 'round, then this will work. Otherwise, I'm not quite sure what this exec is going on about.
 
I don't think Nintendo's system will be the "independent" one long-term.

Here's how I figure it'll go:

1.) All three machines will come out.
2.) Nintendo's will be somewhat cheaper to develop for initially because of the libraries and tools provided.
3.) Some developers will jump on board with Nintendo.
4.) These developers will make a few "independent" and niche games for Nintendo's systems that fail to capture any real interest among consumers.
5.) Nintendo's system starts tanking faster than GameCube.
6.) Microsoft and Sony make their tools as easy to use because of all the outcry from developers and Nintendo.
7.) These independent developers realize that they actually have to make money to stay in business, so they switch to Sony's and Microsoft's machines.

Psychic!
 
snapty00 said:
I don't think Nintendo's system will be the "independent" one long-term.

Here's how I figure it'll go:

1.) All three machines will come out.
2.) Nintendo's will be somewhat cheaper to develop for initially because of the libraries and tools provided.
3.) Some developers will jump on board with Nintendo.
4.) These developers will make a few "independent" and niche games for Nintendo's systems that fail to capture any real interest among consumers.
5.) Nintendo's system starts tanking faster than GameCube.
6.) Microsoft and Sony make their tools as easy to use because of all the outcry from developers and Nintendo.
7.) These independent developers realize that they actually have to make money to stay in business, so they switch to Sony's and Microsoft's machines.

Psychic!

What about XNA?
 
Gaia Theory said:
If Nintendo starts to nuture small devs, only good things will come. If Nintendo is seen as a haven for small devs, only good things will come.

Not if the big developers ditch Nintendo for the Xbox2 and PS3. I don't care how many small developers you have under such a scenario.

Somebody else also pointed out how developers only talk about Sony and MS but exclude Nintendo and its Revolution. Why is that?
 
Yeah software dev tools provided are the biggeest determining factor in how 'easy' it is to create games for a console. And Microsoft is bending over backwards to provide the tools and Sony is making some noises about that as well. So Nintendo is hardly alone in going for ease of development as a method of attracting software houses.
 
I don't really want Revolution to be the "niche" console...I want it to have all the mainstream games AND the niche games, but not one at the expense of the other.

With that said, I think it's incorrect to assume that small, independent releases cannot generate mainstream interest. GTA may not be a great example, but it was a niche series that exploded once it lurched forward in technology and design. The same can happen for a brand new series. It takes a lot of word of mouth and a publisher who will see the buzz and back it with good marketing.
 
Deku Tree said:
What about XNA?

XNA is an SDK with a slick name and marketing campaign. At the end of the day, it's still a tool, and every tool needs talent behind it to be effective. It's not going to save the XBox 2, PC gaming, or even console gaming just by *existing*.
 
I'm not putting down Microsoft's efforts, but I REALLY think we're going to look back on XNA as just another hype tool, not a real revolution or anything like it's sometimes been made out to be. :\
 
I think this is silly. Playstation was the titan of this gen and it's the only console with a heaping helping of niche content. Niche doesn't equal kiddy.
 
We need some sales charts for big 3rd party titles on Gamecube compared to their xbox and ps2 equivalent.

pronto
 
Donkeypuncher said:
Not if the big developers ditch Nintendo for the Xbox2 and PS3. I don't care how many small developers you have under such a scenario.

Somebody else also pointed out how developers only talk about Sony and MS but exclude Nintendo and its Revolution. Why is that?

Self-fulfilling prophecy of Nintendo not being "it".

I swear, I hope that when the Revolution comes out, there will be no handle, no candy-ass purple theme color, just sleek jet-black hardware, (with new colors coming out at a nice steady pace every so often down the road, like the N64 and GB's). If the Cube hadn't have been made with the handle and the purple and all, I seriously doubt much of this braying about Teh Kiddee would exist.

EDIT: Oh, and a decent controller. Gotta mention that.
 
Jonnyboy117 said:
I don't really want Revolution to be the "niche" console...I want it to have all the mainstream games AND the niche games, but not one at the expense of the other.

With that said, I think it's incorrect to assume that small, independent releases cannot generate mainstream interest. GTA may not be a great example, but it was a niche series that exploded once it lurched forward in technology and design. The same can happen for a brand new series. It takes a lot of word of mouth and a publisher who will see the buzz and back it with good marketing.

You and I are usually on the same page, but you're right - GTA is a bad example :P. There are some ideas that you know could be mainstream hits just from the concept. These are games that have little to no "risk" factor to their design. GTA is the most obvious example of such an idea. Every single kid that plays games says at one time or another that they "wish they could play a game where you can do anything". It's not that creative, really. It's the incredibly creative ideas that are at risk here.

Having said that, I do know where you're coming from with that argument.
 
Musashi Wins! said:
I think this is silly. Playstation was the titan of this gen and it's the only console with a heaping helping of niche content. Niche doesn't equal kiddy.

Sega even puts their niche budget Sega Ages games only on the PS2
 
Yeah XNA is nothing more than a SDK. But if it's a *really nice* SDK with a ton of documentation and a lot of support then it will have an impact. Developers can get their vision up and running easier, and this translates to cost savings for publishers.
 
I'm beginning to thing that the statement is a jab at Nintendo and it userbase, because all other explanations don't seem to make any sense. Musashi Wins is quite right--it's Sony that's benenfited from niche support the most. Nintendo has recieved token support with things like VJ, and when those games proved moderately popular they saw their way to the PS2.
 
Q: What will be the major events for the industry in 2005?

A: With the introduction of next-generation consoles such as the Xbox 2 and PS3, software design houses will be required to put more manpower and capital into developing new games to cope with demand. So I think that there will be no room for small-scale design houses to survive in the software market for these consoles. However, small-scale software companies may be able to shift their efforts into developing games for handsets or Nintendo consoles.

So this is Sega's way to say that Revolution is d00m3d?
 
Well there are some devs and publishers who are no longer in the market, Midway is surviving through the MK series. Acclaim is no more, 3DO aswell, even though I don't many will miss them.

There is a possiblity there could be some devs that close up shop next gen.

Whether or not Nintendo console is the small developers console next gen, I don't know. When a COO of any major publisher makes a comment about console development enviroment, I take it seriously, whether that translates into greater success for the Revolution, is anyone's guess.

I can see Nintendo funding some small devs to keep there library packed through the next gen, through more deals like the N-Space deal. When you think about it, its a smart move if implemented.
 
snapty00 said:
I'm not putting down Microsoft's efforts, but I REALLY think we're going to look back on XNA as just another hype tool, not a real revolution or anything like it's sometimes been made out to be. :\

Emotion Engine?
 
OG_Original Gamer said:
I can see Nintendo funding some small devs to keep there library packed through the next gen, through more deals like the N-Space deal. When you think about it, its a smart move if implemented.

I think we are going to see a lot of that. The fact that Nintendo's next console is appears in articles and developer interviews as barely an after thought leads me to believe that Nintendo is going to be gutted in terms of 3rd party support next generation. I used to think that the playing field is reset each generation, but I don't think Nintendo will have that luxury next time.
 
By launching first, Microsoft is going to have a huge advantage in terms of 3rd party developer courtship and ties. The 3rd parties (Sega, Ubi Soft, EA, etc.) will all have been brought along early in the process and feel loyalty and familiarity towards the Xenon from the getgo, imo. Chances are that their launch games, if quality, will sell well enough to warrant continued support and this continued support along with an early solid console sell through will give the Xenon a great snowball-effect type of momentum next-gen. I don't see 3rd parties abandoning the PS3, and many may even remain primary PS3 developers (Konami, Square, etc.), but I see the Xenon getting even stronger support than Xbox currently has.

In North America, I think Xenon and PS3 will be pretty much neck and neck while in Europe PS3 will have a slight edge and in Japan the PS3 will dominate with the Xenon making some respectable inroads. Many people think 2005 is too early for the Xenon, but there's plenty of early PS2 and Xbox adopters out there (who bought Xbox in 2001 and PS2 in 2000) who are looking to upgrade to the next-gen of consoles by the end of 2005. I think a 2005 Xenon launch is going to be brilliant for Microsoft.
 
Why do i have the sinking feeling that Nintendo is sick of dealing with 3rd Parties altogether, and the next machine will be the hot pink Nintendo Happy Fun Machine
 
Is this interview made-up or just poorly translated.

Q: There are rumors that Sega might be acquired by Microsoft as Sega has long been a supporter of the Xbox. What are the next moves for Sega?

A: Many people have spoken about the close relationship between Sega and Microsoft, but the two companies have never discussed an acquisition or merger. However, there are many companies interested in Sega, and we also would be interested in other companies that have growth potential. Just recently we acquired the Japan-based Sammy Corporation, and we also have an interest in acquiring Taiwan software companies. During this trip to Taipei, we found that Xpec Entertainment and Interserv International both have good products and a talented staff.
 
For instance, the Dragon Crest-series online game has been developed steadily and is now in its eighth version.

Dragon Crest Online 8? What's that? :lol

Just recently we acquired the Japan-based Sammy Corporation, and we also have an interest in acquiring Taiwan software companies.

:lol
 
With the introduction of next-generation consoles such as the Xbox 2 and PS3, software design houses will be required to put more manpower and capital into developing new games to cope with demand. So I think that there will be no room for small-scale design houses to survive in the software market for these consoles. However, small-scale software companies may be able to shift their efforts into developing games for handsets or Nintendo consoles.


How does this jive with this?


Sega’s strategy is very clear, and we will not commit blindly to huge investment projects. Instead, we invest and develop new products gradually, based on our expertise and assessment of market trends


Is Sega saying that that they are not willing to spend the mega bucks needed to survive on PS3 and Xbox 2 so "Hello Nintendo"?
 
Sega says no room for small scale developers on PS3 or Xbox 2, only on Nintendo!

Yeah right, this type of thing was said for this gen, too. Wasn't it only the "Big Five" who would be able to make good PS2 games?
 
moondance said:
How does this jive with this?





Is Sega saying that that they are not willing to spend the mega bucks needed to survive on PS3 and Xbox 2 so "Hello Nintendo"?


You should read the last few posts. This is beginning to sound like a very bad translation.
 
SatelliteOfLove said:
Self-fulfilling prophecy of Nintendo not being "it".

I swear, I hope that when the Revolution comes out, there will be no handle, no candy-ass purple theme color, just sleek jet-black hardware, (with new colors coming out at a nice steady pace every so often down the road, like the N64 and GB's). If the Cube hadn't have been made with the handle and the purple and all, I seriously doubt much of this braying about Teh Kiddee would exist.

I think I remember George Harrison saying that the Revolution's looks would be addressed in the way you've stated above. I think the problem is that Nintendo of Japan calls all the shots and thought a purple console with a handle would fly in North America too. Reggie should start actually doing something for a change and start kicking asses in Japan and taking names. NOA should stand up and run their shit differently than the clueless people from Nintendo of Japan are always having them do.
 
Donkeypuncher said:
Somebody else also pointed out how developers only talk about Sony and MS but exclude Nintendo and its Revolution. Why is that?

Because nobody knows anything about Revolution. People know about Cell being in PS3, and all the hype there, people know about XNA and have seen the demos, but nobody really knows much about Revolution, other than the name, and that it'll somehow be "different". Out of sight, out of mind. Nintendo loves to be secret about everything so that it can blow its load with a big surprised, meanwhile MS and Sony are slowly hyping their next consoles with small information here and there and winning the mindshare game.
 
Basically Sega is saying Nintendo's next system will sell like shit, no one will be making games for it thus less competition for small time developers. Have some faith Sega!
 
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