Nintendo 3DS


So.....the 3DS has sold more in Japan, then the Wii did in its lifespan.....poor doomed to-be bankrupt Nintendo. huh?
Its not bankruptcy they are risking, it's to stop growing in the future. The WiiU is a failure, and who knows if Nintendo will still continue to be "in" for portable gaming in the future ?

Sooner or later there's bound to be some serious disruption on the portable gaming market as well (either through mobile phones or other means). It's very risky when you rely on a single market for all your revenues.

Why do you think the stocks of Nintendo keep going down ? The outlook on their future is NOT good. 
I'm not 100% on this, but wasn't Japan's overall Wii sales the lowest of the 3 main regions? So it's not surprising that the 3DS has outsold it, especially considering how well "N" handhelds sale in Japan.

The handheld markets is definitely the only thing keeping them afloat at this point, and I have to agree, if that ever goes down the toilet, they will be in deep $%^&! Even if sales don't tank, they can't keep up their current business model through another generation and expect to survive.

I've always said the Wii was HUGE curse/blessing for "N". It really should have tanked last gen, and then it would have made them make a more sound decision in regard to this current gen, but since it sold so well and made them boat loads of cash, it made them think they actually knew something, when they really didn't.

Obviously they knew "something", as it was a success to a certain degree, but 3rd party games sold like crap and I really didn't see any improvements business wise over their last two home consoles. The Wii sold strong and fast for the first few years, and then died a quick and painful death. The PS3 and 360 have sold steadily over the same period and are still selling strong today. The Wii was a fad, and "N" just didn't plan well for when the "bubble" was going to burst.

The same things "N" have always done to improve sales, is still their main saving grace today. Bring the best 1st party titles they can to market and hope and pray sales improve. Yes, this has worked several times in the past, and due to their rich history of Zelda, Mario, Pokemon, etc, it will always work to a certain degree in the future. Now they are operating in a new market, where they are selling systems at losses, and the profits are no longer as strong as they used to be when the great software finally arrives. Now, their complaining they had no idea how long HD games required to make. WTF!? Really? What the hell was R&D doing the 2-3 years before the WiiU's release? Sitting on the beach drinking margarita's?

These guys just keep doing the same things and expecting different results. It's just not going to happen. They do have deep pockets, so they can last longer than most, but unless some huge changes get made in coming years, I really don't see "N" legacy ending well, but I'm hoping for the best.

Chris
 
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Even if sales don't tank, they can't keep up their current business model through another generation and expect to survive.
 

Nintendo is sitting on a huge pile of cash (look at their financials and assets). They are not going away even if they massively screw up in next generation of consoles. 

The only thing they risk in the mid-term, if they seriously screw up, is to downsize their operations and company size. But again, with their pile of cash they could take a strategy of acquiring other companies (stuff they don't really do so far because they don't really need it). They have about 4 billion dollars of disposable cash and could buy easily any medium size publisher if they ever feel like it. But their cash reserve is certainly not growing anymore, and actually dropping fast year by year : http://www.marketwatch.com/investing/stock/ntdoy/financials/balance-sheet

Their sales revenue and income is melting like snow in the sun as well: http://www.marketwatch.com/investing/stock/ntdoy/financials

This being said, Nintendo is just like the IBM or Microsoft of video games : big enough not to fade away in any short time. The next thing I expect is that Iwata will be kicked out of the CEO role for the very poor performance of the past 5 years, and they would then put someone more capable in place to give a new direction to the company. That's my guess.  
 
Even if sales don't tank, they can't keep up their current business model through another generation and expect to survive.

This being said, Nintendo is just like the IBM or Microsoft of video games : big enough not to fade away in any short time. The next thing I expect is that Iwata will be kicked out of the CEO role for the very poor performance of the past 5 years, and they would then put someone more capable in place to give a new direction to the company. That's my guess.  
This is the problem as I see it^

Iwata is the true problem here, but for some reason, he can't be removed or won't be removed, either way it's a problem.

I'm well aware of "N" very deep pockets and when I say not to expect them to survive after another generation, I'm not saying they will end tomorrow, but once that financial boulder starts rolling faster and faster down hill, it becomes almost impossible to stop. 3rd parties already have little to no faith in what they are doing, and the WiiU is continuing on the downward slide that the N64 and Gamecube started so many years ago.

Over the next 5-10 years, the market is only going to change more and more, and "N" has had 3 dead consoles in almost the last 10 years. They have lost TONS of money from just over the last 5 years. Yamauchi was the #1 richest man in Japan at the Wii's best moments, and when he died he was ranked about #13. That is extremely sad to see and that was a HUGE drop over about a 5 year period. How bad do you think "N" financials will be in another 5 years staying this same course?

Hemorrhaging cash is never good, and in the long term, once that safety net of no debt and deep pockets gets smaller, and smaller, worse decisions will get made. In the past "N" has never sold hardware at a loss, EVER. Now, in just the last few years, they have done it twice(not because they wanted to, but because they had to). This is something that others have always done, and their businesses are based around it. "N" is doing it not as a long term plan, but as a short term fix.

They really need visionaries who can see the future, and where the market is headed and get out in front with new ideas, concepts, and strategies. The same things that are happening to many Japanese game companies are now happening to "N", and the only difference is that their brands are the strongest of the bunch. "N" will always be around for this one reason, they will continue to sale millions of Pokemon, Mario, MK, and Zelda games, but where are the new IP's? Where is the innovation "N" has always been known for? It's gone, because now they are making decisions based on their financial situation, and it's killing their creative side and is making them just like everybody else.

Chris 
 
...

Iwata is the true problem here, but for some reason, he can't be removed or won't be removed, either way it's a problem.

...
Probably due to the fact he has overseen the introduction of the DS, Wii & 3DS which by any metric have been hugely successful for Nintendo. The Wii U may or may not prove be a failure, I'd wait a year or two before deciding that for sure.

Must admit as a Wii owner I don't feel the need to upgrade to the Wii U at the moment but could see that happening in the next year or two if the price comes down a bit & the software library grows a bit. I'm surprised that more people have not upgraded what with it being backwards compatible an all that.

IMHO one thing that Nintendo needs is a competitive (with Apple / Android) pricing strategy for its virtual console / retro titles. The cost of their current offerings is an absolute joke when compared to Apple & Android.
 
Probably due to the fact he has overseen the introduction of the DS, Wii & 3DS which by any metric have been hugely successful for Nintendo. The Wii U may or may not prove be a failure, I'd wait a year or two before deciding that for sure.
Exactly this. The DS, Wii, and 3DS were all called failures within their first several months of operation and they all turned around and started raking in money. The Wii U is behind on sales compared to the other 3 consoles at this time but not by as much as some people would think, there's still a lot of time for them to do something cool with it and see a sudden surge in sales.
 
Probably due to the fact he has overseen the introduction of the DS, Wii & 3DS which by any metric have been hugely successful for Nintendo. The Wii U may or may not prove be a failure, I'd wait a year or two before deciding that for sure.
Exactly this. The DS, Wii, and 3DS were all called failures within their first several months of operation and they all turned around and started raking in money. The Wii U is behind on sales compared to the other 3 consoles at this time but not by as much as some people would think, there's still a lot of time for them to do something cool with it and see a sudden surge in sales.
Well, the Wii was a juggernaut out of the gate, at least here in the states and was sold out on a regular basis for almost 2 years(they couldn't keep stock in stores). It is true that the DS and 3DS where slow in the beginning, but the handheld market has always been dominated by "N", so any doom and gloom reported in those areas where premature. "N" has dominated the handheld market since they entered it so many years ago, and almost every generation had better machines by the competition along side "N" handhelds, and they win each time.

The PSP gave them the best run early on, as the DS phat sucked, and Sony got any early lead, only to loose out to the DS Lite. There is a 20 year history of their dominance in this area, and the numbers are there to back it up. 

Consoles are a differnt matter altogether, and if you look at the N64 and Gamecube, they look a lot like the WiiU does currently. I agree, the WiiU is by no means out of the race, but like Mr_Loon has pointed out, I also see no reason to currently buy a WiiU. "N" had a solid one year lead in this current gen, and the software and price just isn't that inviting a whole year later.

That price drop was the greatest Jedi Mind Trick I've seen in years. Here's the WiiU for 300, but we'll take away the base model, and leave the deluxe(It would look a lot better if there was a 250 unit on shelves). So if consumer budgets was an issue last Christmas, and I couldn't afford a WiiU at 300, why is a WiiU at 300 this year any better? Yeah, I know that now the 300 unit comes with extras, but there aren't really anything to help move units. They need to include at least 2-3 games, and the pro controller to make that 300 look like a great deal, as it sits now, it's a HUGE slap in the face.

Chris
 
If the WiiU is the in same position as the N64, I am very much excited for things to come I couldn't hope for more from any gaming console. I just wish the WiiU had N64 like launch window of games :{
 
Was the N64 no failure then? I always regretted buying it instead of a PSX.

SNES was famous for many excellent JRPGs and were did they went after this?

SNES: Zelda 3, Chrono Trigger, Breath of Fire 1&2, Final Fantasy 4-6, Tales of Phantasia, Star Ocean (+ some titles like Mystic Quest, Terranigma, Seiken Densetsu 2+3, Secret of Evermore, Lufia, etc...)

Playstation: Chrono Chross, Breath of Fire 3&4, Final Fantasy 7-9, Tale of Destiny, Tales of Eternia, Star Ocean 2 (+ Grandia, Persona 1+2 and many MANY more)

N64: Zelda 5&6
 
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Was the N64 no failure then? I always regretted buying it instead of a PSX.
It made money, as they weren't selling units at a loss, but "N" was hell bent on sticking with cartridges and it killed them in the long run. It had some good games and sold OK, but the PS1 killed it. Sadly, if you bought one over a PSX, yeah, you should regret it :p

This was the beginning of "N" we know best attitude, and they burnt tons of bridges with the N64. The Gamecube was solid hardware, and it had a lot more games than the N64 due to the better storage, but they still lost out on some big exclusives to the PS2 and Xbox. They finally got back in good standing with most 3rd parties by the Wii, but then the casual market took over, and 3rd party games sold like crap. Now we have the same situation again with the WiiU, and a lot smaller installed base to deal with.

So yeah, even if the WiiU does N64 or Gamecube numbers, it will still be a huge bomb, as they are taking a loss on every unit sold. So until the can rework the hardware and reduce cost, it's a very dismal picture and even with their BIG games, it won't be enough to move HUGE quantities. They really need software at this point, and everyone knows the 1st party games will be nice when they arrive, but every next gen 1st party titles they have currently, are spruced up 3DS games.

At least the Gamecube and Wii had decent 3rd party support, but hat is all but gone now, and there is no way "N" can get it back. I've been a HUGE "N" fan for 30+ years, and I love my 3DS to death, but I have no plans to get a WiiU unless I can get one under 200 and get some great games(none of which are looking that great currently). Well, there are a few games, but nothing worth buying a 300 dollar WiiU for.

Chris
 
I would still have a n64 over a psx ANY day. PSX is still one of the least beloved consoles to me, just a touch better then xbox.....and N64 possibly being the most loved to my gaming history :/ I'd say the gamecube is the worst nintendo home console as well, so maybe i could be in some minority with all this
 
I would still have a n64 over a psx ANY day. PSX is still one of the least beloved consoles to me, just a touch better then xbox.....and N64 possibly being the most loved to my gaming history :/ I'd say the gamecube is the worst nintendo home console as well, so maybe i could be in some minority with all this
It's a personal preference for sure. Your not alone, as many gamers have a soft spot for the N64. If you take the best PS1 games, and place them along side the equivalent on the N64, the N64 games would come out on top. But, the PS1 just had soooooooo many games overall, it's hard to not see the value in that machine over the competition.With CD's The PSX had a lock on RPG's, and you'll never find anyone who will dispute that statement, and that was a HUGE factor in the PS1's dominance over the N64 worldwide.

I think the best two games I played that gen where Zelda Ocarina of time on the N64, and Metal Gear Solid on the PS1. At the end of the day, I had to give the top spot to Metal Gear. Both where Epic games, but Zelda had a been there done that feel to it, as it was a franchise I had played several times over many years on different devices. Metal Gear wasn't like anything I had ever experienced, and it would have never been possible without CD's.

Both where great consoles, but it's not hard to see how the world chose PS1 over the N64. The PS1 had so many genres and unique games, that just weren't even tried on the N64.

Chris
 
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