Those quotes are all fucking stupid. I can see why Nintendo did their business like they did.
Nintendo
Company »
Nintendo was founded in Kyoto, Japan in 1889 as a manufacturer of hanafuda playing cards. The company went through several small niche businesses before becoming a video game company.
Nintendo Stock Drops 20% and One Man Loses $300 Million [UPDATED]
@White_Silhouette said:
Starting to see the ripple effect of the price drop. I wonder what affect it will have on the perception of the WiiU and the Vita down the line.
From the article it sounds like the price drop was in response to the quarterly earnings report, not the other way around.
I soo want Nintendo to focus on games again, Like they actually did with the Gamecube. Those were good days!@shenstra said:
While I'm hopeful that NIntendo will pull another rabbit out of its big red hat, the situation is pretty dire. Considering only the stock price, as an indicator of investor's estimated future profit potential, Nintendo is back to the pre-Wii situation which, you may remember, was rather dire. The general consensus was that Nintendo's hardware (both the DS and the Wii) had to be a hit for Nintendo to remain healthy. Of course, both were huge hits and Nintendo's stock exploded (at the height of Wii hype, Nintendo stock was over ¥70.000 per share, almost six times the current value).
They're now back to the same position they were in in 2006, but instead of the DS and the Wii (Revolution at the time), they have the 3DS and Wii U to work with. Not only is the marketplace (and the global economy for that matter) different, but they're also competing against their former selves. Both the 3DS and Wii U invoke thoughts of their predecessors, through name, appearance and functionality. How are they going to convince DS owners who now just play shitty iPhone games that they should buy a 3DS? How are they going to convince Wii owners whose shiny little toy has been gathering dust for years that the Wii U will be different?
We've all been asking those questions ever since these new devices were announced and the stakes have been getting higher. Most gamers' answer is that Nintendo should make more and better games and people will start buying consoles and software. But that hasn't exactly worked for Nintendo for the past fifteen years or so. Perhaps partly because the games they do develop are less amazing and less original as time goes by. But more importantly, I think, because people demand something different from video games nowadays. Nintendo has been hopelessly out of touch, and I've been one of the schmucks defending their decision making because I don't care about online and I don't care about graphics and I don't care about shootan games. But the rest of the world does, and by sticking to their old ways, Nintendo has painted itself into a corner, or a niche, if you will. A niche that cannot sustain a console, let alone an entire company the size of Nintendo. Especially since Sony and Microsoft are also increasingly catering to that niche market.
So it turns out Nintendo hasn't been doing all that well for as long as most of us can remember. All the hype around Nintendo's success in recent years is based on two products. The DS has done very well over a long period of time, but the 3DS has a hard time getting near the same level of success. It may still manage (after all, the DS had a slow start too), but it's a harder sell and the 3DS has actual competition. The Wii has turned out to be a flash in the pan. It has made Nintendo a lot of money in the short run, but hasn't substantially changed the position they're in when looking at the long term.
The blue ocean, it turns out, doesn't hold many fish.
That is all. ;-P
You're right on all accounts, straight up. It is insane that their stock prices are at Gamecube-levels. They're betting on the same two horses that pulled them out of the rut in 06, but, since 06, those horses have gotten old and stale, and that's the whole reason they're back in the rut in the first place. I honestly don't see a bright future ahead for Nintendo.
I really hope they turn it around, but they've got a lot of work ahead of them, and frankly the odds don't look too good.
I like the Wii as well, but they should, as almost everyone have already stated, focus on more games that gamers want to play.
F-Zero Anyone?
I am also of the belief that long run series should not be flushed out on the handhelds. At least not the main titles. Handhelds for me have always been a niche market for a special group of people and the stationary consoles have lead the way, they had the big titles and announcements, and when Nintendo tries to give the same glory to both, it fails. (I don't play Pokemon)
I love games, I play alot, but I have not the time nor the money to spend everything on both markets (stationary and handheld). I rather spend money on the stationary side for big titles, but when big titles are sparse... I don't know.. I tend to not buy anything from Nintendo, I tend to buy 360 titles and 360 arcade games. Because frankly, I am convenient. I want my games in one place. So now I've invested in the 360 and I wont move to handhelds unless something radical happens.. like.. I win a 3DS :)
I can't even get through all my games as it is now, why would I want a new console?
I am saturated, maybe others are as well!
@Crushed said:
It's not confirmed since the transcript hasn't been put up yet, but Iwata said at a shareholder meeting today that because of this stuff, the lowered earnings projection, and Nintendo taking a loss on each post-price drop 3DS, he'd be cutting his own salary in half and cutting the top round of exec's salaries by 30%.
I don't think you would hear this happen ANYWHERE outside of Japan if this were to be official. Sure as hell not in the US.
It will be interesting to say the least. I'm not hoping for Nintendo to fail, but I still think the 3DS was a huge misstep. I see the Wii U the same way. . . I also thought the Wii was a misstep. So I really have no clue.Starting to see the ripple effect of the price drop. I wonder what affect it will have on the perception of the WiiU and the Vita down the line.
This price drop tells me they don't have confidence in their product. Which puts up a red flag for me as a consumer.
When a company takes chances like Nintendo does, there will be failures. The 3DS could still recover nicely down the road. We shall see.
@XNaphryz said:
@White_Silhouette said:
Starting to see the ripple effect of the price drop. I wonder what affect it will have on the perception of the WiiU and the Vita down the line.
From the article it sounds like the price drop was in response to the quarterly earnings report, not the other way around.
Agreed probably best to say. The earnings report caused the price drop, which then effected the stock prices... Curious to see what the next event is (if they is one. )
Is he worth 4.6 billion before or after this? Assuming he was worth that before this drop, and according to these numbers, he had 2.38 billion in Nintendo and 2.22 billion elsewhere. Say what you will about him, but he's got half of his wealth in Nintendo. I wonder what he's got the other half in?
@haggis: Exactly. All this points to is the fact that Nintendo's profit-from-hardware mentality isn't going to cut it in this more discerning market. Disposable income just isn't what it was when the Wii released, so that money wave they were riding because people could spend on a frivolous, gimmicky system just isn't there any more. Instead of telling gamers what they want, Nintendo better start listening to us instead and deliver performance hardware even if it's at a loss.The problem with casual gamers from a financial point-of-view is that they aren't gaming enthusiasts. Not all 360 and PS3 and PC gamers are, either, but enough of them are that they're willing to spend money on new hardware when it comes out. Hardware purchases are cyclical for enthusiasts. After a few years, they want to spend more money. Not casual gamers. In addition, I think the long-term satisfaction for casual gamers with the Wii has been fairly high. They're happy with it, for what it is. And they see no reason to go out and buy a new console given the limited amount of time casual gamers spend on the Wii. On the other hand, enthusiast satisfaction with the Wii has been mixed, due to the limited software selection. Even game purchases are in decline (across the board, not just for Nintendo) because of limited disposable income.
I think Nintendo was stupid for thinking it could unload a new handheld in the market right now. Sales may pick up in the future, but at the reduced price-point Nintendo is going to be working hard to overcome its losses. You can bet that there is a lot of fretting over at Sony and Microsoft right now about timing next-gen console releases. I think they'll want to see the Wii U's market performance before they commit to timelines. I would not be surprised if the Wii U is delayed for market reasons. Nintendo can handle one blow with low 3DS sales, but it may not be able to weather another if the Wii U tanks.
@pyromaster222 said:
man that is a crazy drop...
He'll probably find millions of dollars of lose change down the back of his sofa chair so this's probably nothing to him. lol
I think theyre suffering from the same problem the psp had in its launch. With Nintendo 3ds's expensive price in addition to having only street fighter 4 and wii resorts piloting simulator as the strongest launch titles its not surprising that people werent thrilled to spend 250 dollars for another PORTABLE handheld device.
I don't think it's the end for the Big N, but this is most definitely the wake up call: "Hey guys... You know what you did with the NES and SNES...? Yeah, do that again."
The thing is that they can't. The reason the NES was so dominant was that Nintendo forced 3rd-parties into anti-competitive agreements. You saw the slow move toward the Genesis when the SNES came out, but Sega was incompetent and squandered their momentum with outright failures like the Sega CD and the 32X. By the time the PlayStation came out, 3rd parties were desperate to get out from under Nintendo's thumb. Nintendo will always have its base because of its 1st party mainstays, but the days of their dominance are well and truly over, and they're never coming back.I don't think it's the end for the Big N, but this is most definitely the wake up call: "Hey guys... You know what you did with the NES and SNES...? Yeah, do that again."
@YukoAsho: Can they just make another 2d metroid game please? With 3d graphic's and 2d game play like New Super Mario Bros............... Please,please, LOOK I LOVED Metroid: Zero Mission and it was a freaking remake for GBA!!!!!Well, it'd be better than another Other M, but at the same time, that's just speaking to Nintendo's diehard base. We'll buy it, but it's not going to change people's mind.
The games will come. And then I will giggle. All these Nintendo is doomed comments make me lol.
They have happened, and will continue to do so, since the Dreamcast. Haters want to play Zelda and Mario on their console of choice so they circle like vultures waiting. They're gonna still be circling for a long time.
I think the new $170 price tag is a good move for the big N, but I really think they should bundle the new Zelda 3ds game with it to make it a homerun. I remember the day when games were always bundled with system, the big N should revert to those days.
@Deric said:I have no desire to play those games, I just don't like Nintendo and their smug philosophy. They do hold the rains on some beloved (and flogged to death) franchises, and they use that to dictate what players want rather than adapt to player concerns and needs. Actually, I'm not even upset with Nintendo, just the baffling trend for people to buy the re-re-re-re-release of their old favorites like, say, Zelda, and then sit up and say "Thank you!" to Nintendo like they've been done some huge favor. Why don't we, you know, ask them to innovate with software like they do with hardware? Meh, I guess to each his own. I still think it's dumb. Kinda' like I think it's dumb that people keep buying Fable games or going to see Transformers movies. Going back to the same trough over and over no matter how rotten the food is. Yeah, that's Nintendo to me.The games will come. And then I will giggle. All these Nintendo is doomed comments make me lol.They have happened, and will continue to do so, since the Dreamcast. Haters want to play Zelda and Mario on their console of choice so they circle like vultures waiting. They're gonna still be circling for a long time.
man i bet he's crying into his spare $4 billion right now, oh wait....He uses the Japanese equivalent of $100 bills as tissues.
As one of many guys out there that have to get up at 5:30 am every morning and actually work for a living I say: If you have $300 million to lose in the first place, too fuckin' bad...
Please Log In to post.
This edit will also create new pages on Giant Bomb for:
Beware, you are proposing to add brand new pages to the wiki along with your edits. Make sure this is what you intended. This will likely increase the time it takes for your changes to go live.Comment and Save
Until you earn 1000 points all your submissions need to be vetted by other Giant Bomb users. This process takes no more than a few hours and we'll send you an email once approved.
Log in to comment