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Topic: Nintendo shake up could mean the end of Nintendo hardware as we know it

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Bankai

MCV just posted an incredibly interesting story. The news story itself just reports a merging of console and handheld hardware R&D division at Nintendo in Japan, but what is on the surface a dry organisational restructure news story has some dramatic between-the-lines ramifications.

It means that no longer will Nintendo work on handheld and TV hardware separately. In turn it could very well mean the next generation of Nintendo hardware doesn't separate the two styles of gameplay.

So, in other words, imagine a console that you carry around with you, like a DS or 3DS, but bring it home and play the exact same game on the exact same hardware, only this time streamed through the TV in high definition?

Or, if I was in the mood to be negative, perhaps this is a sign that Nintendo is going to focus on just the one stream of hardware in the future. It's hard to imagine the company stepping out of the handheld market that has been so lucrative for Nintendo for so long, so I'm certain some pundits are going to take this as a sign that the Wii U will be Nintendo's last TV console.

I'm more inclined to see this in the positive, former light however. Having one unified R&D team means greater resourcing to come up with even better products. And given that the technology to stream data from a portable device (such as an iPhone) to the TV in 1080p resolution (via Apple TV) already exists, there's no reason to think this isn't the future of console gaming anyway. In such a scenario Nintendo is simply working towards a likely future.

Source: http://www.mcvuk.com//news/read/nintendo-japan-shake-up-merge...

Edited on by Bankai

Tsuchinoko

Nintendo would never step out of the handdeld market. As a longtime resident of Japan, these has been a slow but stead shift away from console gaming (which I know is not the same in other regions), as handhelds become the preferred method of gaming here. That is why many franchises recently like Monster Hunter, as well as new IPs like Bravely Default are done mainly on handhelds.

3DS games still dominate the market here, and the amount of people in Japan that only own a handheld console just keeps growing. I for just sold my Wii and game solely with my 3DS now. I have many friends that do the same thing.

As for the other theories, I don't know. It could be more of an economical reason than anything else to merge to divisions together. I know of other gaming companies in Japan that are taking other methods of cutting costs, such as limiting the amounts of games they release overseas (information I got from a friend who works at a really famous game company whose name I can't share, if you think about it enough you might be able to guess which one), or simply making less big-budget games per year.

I think its just theorizing to think this means the end of anything.

Edited on by Tsuchinoko

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Bankai

Tsuchinoko wrote:

Nintendo would never step out of the handdeld market. As a longtime resident of Japan, these has been a slow but stead shift away from console gaming (which I know is not the same in other regions), as handhelds become the preferred method of gaming here. That is why many franchises recently like Monster Hunter, as well as new IPs like Bravely Default are done mainly on handhelds.

3DS games still dominate the market here, and the amount of people in Japan that only own a handheld console just keeps growing. I for just sold my Wii and game solely with my 3DS now. I have many friends that do the same thing.

As for the other theories, I don't know. It could be more of an economical reason than anything else to merge to divisions together. I know of other gaming companies in Japan that are taking other methods of cutting costs, such as limiting the amounts of games they release overseas (information I got from a friend who works at a really famous game company whose name I can't share, if you think about it enough you might be able to guess which one), or simply making less big-budget games per year.

I think its just theorizing to think this means the end of anything.

The merge means something is going to happen - if nothing was going to change nothing would have been done.

My bet is, as I said, Nintendo producing a "Wii U" style game device, only the gamepad is properly portable. Roll both home console and handheld together literally, in other words.

Aviator

@Tsuchinoko But the Wii U is sort of confused as to what it is. Half of it is a home console, the other half is a handheld device. If they were able to build the infrastructure into the Gamepad, then they're already there.

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You know
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And can you go a little faster?!

Sean_Aaron

If you lose the optical drive and you have better battery technology (last year I remember reading about a massive breakthrough in polymer-based battery storage which will revolutionise battery life in portable devices in a few years) then you don't need as big a footprint for a console; in fact all you'd really need is an adapter to connect the portable to your TV.

I already moved my movie library to my computer and I have an adapter that works with my iPad/iPhone. If I have a film to show at a friends house I load it on my phone or iPad and bring the adapter and HDMI cable rather than a DVD. No reason a portable game system couldn't work the same way with Bluetooth for controller connections.

I think the main thing which would hold them back from doing this now would be a desire to sell all content digitally. In some countries this isn't a problem, but speeds still aren't quite there yet where you could easily dump packaged media for big releases (though I've decided to make that switch myself). It will definitely be interesting to see what happens next. I figure given the relatively modest increase in Wii U power over the Wii you might see the next generation focus on delivering that power to a handheld. I think a portable with Wii U processing and a retina display would be a pretty decent machine and if the economy doesn't improve it would be priced attractively as well.

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Tasuki

Really it doesnt surprise me Nintendo has always been better at handhelds than home consoles. I mean out of seven systems they have only been the top seller twice with the NES and SNES, mainly cause at that time they didnt have alot of competition and they were pioneers. Since the N64 they have failed at that. It started with staying with cartridges instead of going with CDs in the N64 era and than continued with the lack of options the Gamecube had when compared to the PS2 and Xbox.

However when you look at their handhelds no one can touch them. Look at the sales of all the versions of the Gameboy and continue looking at the DS sales and now the 3DS sales. Compare those to the Gamegear, PSP, and Vita and you will see where Nintendo's strong suit is. IMO Nintendo should have just stuck with handhelds thats where they are good at.

I dont think they will end up like Sega completely out of the hardware market I think just out of the home console market. And as someone said in an earlier post just look at the Wii U heck my son plays more and the game pad than the actual TV. Perhaps Nintendo saw this coming and thats why they put everything into the gamepad. Perhaps they thought maybe if we disguise a handheld as a home console well will get the edge. Who knows, but all I can say is this move doesnt surprise me one bit.

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AbeVigoda

What an idiotic premise. It's quite easy upon reading some of these posts to figure out which of you guys have absolutely no understanding of how to run a business.

So Nintendo, who has two profitable streams of revenue coming from handheld and console systems, is going to join them both together, thus turning two separate revenue sources into one? Effectively cutting their own profits in half?! This would be like Apple combining their MacBooks into iPads, and only selling one product rather than selling two. Gimme a break....

This looks like a purely creative move on Nintendo's part. It was done because both of their touch screen systems (3DS and Wii-U) have many similarities, and having both departments working side by side and sharing ideas and resources would help to create new games and increase creative output. Who knows, it may also save Nintendo some money on property costs if both units are sharing the same building.

I think it's quite a leap to believe that just because the handheld and console divisions of Nintendo are now sharing a building, it means that Nintendo will join them together and only produce one product in the future.

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Auracle

@AbeVigoda - I agree with you. I believe that there are much more logical reasons for Nintendo doing the merge. To say that Nintendo will stop home console production because they merged unit buildings sounds like something out of a tabloid.

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Tasuki

True_Hero wrote:

@AbeVigoda - I agree with you. I believe that there are much more logical reasons for Nintendo doing the merge. To say that Nintendo will stop home console production because they merged unit buildings sounds like something out of a tabloid.

Well it was posted right next to the article about a woman giving birth to Bigfoot's two headed alien son.

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Shrapmo

Dude, the OP totally just got me hyped up like nothing else! This could be really awesome!

Here is a new petition to get Metal Gear Solid Rising: Revengence on the Wii U!!!
http://www.change.org/petitions/konami-platinum-games-metal-gear-rising-revengeance-for-the-nintendo-wii-u

Sean_Aaron

AbeVigoda wrote:

So Nintendo, who has two profitable streams of revenue coming from handheld and console systems, is going to join them both together, thus turning two separate revenue sources into one? Effectively cutting their own profits in half?! This would be like Apple combining their MacBooks into iPads, and only selling one product rather than selling two. Gimme a break.....

Um I guess you don't pay attention to Apple's hardware lineup because that's EXACTLY WHAT THEY DID. They don't sell MacBook any more, they sell MacBook Pro and the entry-level notebook is now the Air, basically because they recognised the overlap with iPad for the low-end laptops they were selling.

Regarding the rest of your post you may be right, however if Nintendo wanted to be a bit more nimble then combining these divisions would allow them to plan for the possibility that Wii U fails. Making a handheld that can also serve as a home console would allow them to save money by focusing hardware production on one product line. If the Wii U fails to perform over the next couple of years then yes, I would fully expect them to walk away from it and release a system that was dual use without appearing to completely abandon the home console market.

I don't actually expect the Wii U to fail, but in uncertain times if I was Nintendo I wouldn't be betting the farm on the status quo continuing.

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Hokori

This is sooooooo awesome, I'm starting to hate home consoles, so if this means home consoles on the go ! Consider me HYPED!

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Bankai

AbeVigoda wrote:

What an idiotic premise. It's quite easy upon reading some of these posts to figure out which of you guys have absolutely no understanding of how to run a business.

So Nintendo, who has two profitable streams of revenue coming from handheld and console systems, is going to join them both together, thus turning two separate revenue sources into one? Effectively cutting their own profits in half?! This would be like Apple combining their MacBooks into iPads, and only selling one product rather than selling two. Gimme a break....

This looks like a purely creative move on Nintendo's part. It was done because both of their touch screen systems (3DS and Wii-U) have many similarities, and having both departments working side by side and sharing ideas and resources would help to create new games and increase creative output. Who knows, it may also save Nintendo some money on property costs if both units are sharing the same building.

I think it's quite a leap to believe that just because the handheld and console divisions of Nintendo are now sharing a building, it means that Nintendo will join them together and only produce one product in the future.

I like how you let rip at everyone for apparently not understanding business, but fail to have a clue about it yourself.

Any halfway intelligent company looks to futureproof its business. There's no guarantee that Nintendo's two revenue streams will remain open forever, and if you look at the market trends, it actually looks quite likely that the console business is going to drop out entirely - especially in Japan, which is Nintendo's core focus market.

So Nintendo is taking steps to make sure it's prepared to deal with that possibility.

Furthermore, I would love to see where you pulled the idea that merging two revenue streams would cut profitability in half. That's a childish interpretation of manufacturing business dynamics. If anything, consolidating down the business lines results in a more profitable and agile business.

It's pure denialism to suggest that this move won't impact on the way Nintendo does things.

AbeVigoda

Bankai wrote:

AbeVigoda wrote:

What an idiotic premise. It's quite easy upon reading some of these posts to figure out which of you guys have absolutely no understanding of how to run a business.

So Nintendo, who has two profitable streams of revenue coming from handheld and console systems, is going to join them both together, thus turning two separate revenue sources into one? Effectively cutting their own profits in half?! This would be like Apple combining their MacBooks into iPads, and only selling one product rather than selling two. Gimme a break....

This looks like a purely creative move on Nintendo's part. It was done because both of their touch screen systems (3DS and Wii-U) have many similarities, and having both departments working side by side and sharing ideas and resources would help to create new games and increase creative output. Who knows, it may also save Nintendo some money on property costs if both units are sharing the same building.

I think it's quite a leap to believe that just because the handheld and console divisions of Nintendo are now sharing a building, it means that Nintendo will join them together and only produce one product in the future.

I like how you let rip at everyone for apparently not understanding business, but fail to have a clue about it yourself.

Any halfway intelligent company looks to futureproof its business. There's no guarantee that Nintendo's two revenue streams will remain open forever, and if you look at the market trends, it actually looks quite likely that the console business is going to drop out entirely - especially in Japan, which is Nintendo's core focus market.

So Nintendo is taking steps to make sure it's prepared to deal with that possibility.

Furthermore, I would love to see where you pulled the idea that merging two revenue streams would cut profitability in half. That's a childish interpretation of manufacturing business dynamics. If anything, consolidating down the business lines results in a more profitable and agile business.

It's pure denialism to suggest that this move won't impact on the way Nintendo does things.

First you say I don't understand business and that I'm all wrong, then you go on to say that if Nintendo switched to one console, it would make the company MORE profitable?! How?!

Lets be hypothetical and think of it this way, and say by 2017, Nintendo has sold 50 million Wii-U's, and 100 million 3DS's. The Wii-U costs $300, the 3DS is $150 (exact numbers aren't important here). Each system will have 8 titles that will have sold in excess of 10 million copies a piece. Not everyone who bought a Wii-U will buy a 3DS, not everyone who owns a 3DS will want a Wii-U, but around 40% of Wii-U purchasers will have bought a 3DS as well. So Nintendo is not only earning money once from the consumer, but twice if they are in the 40% who own both systems and purchase software for each.

However you on the other hand believe the following scenario would/could be more profitable for Nintendo...

In 2017, Nintendo merges their handheld and console systems into one unit, sells it for $450, and in the following six years sells 40 million of them and has 9 games that sell over 10 million copies each.

Now please explain to me how that DOESN'T cut Nintendo's profits in half? They are now selling half the amount of systems, half the amount of software and lose the entire handheld market by essentially rolling both products into one, making the new system too expensive for the average joe who just wanted the 3DS, and flushing all the money down the toilet they could have made by selling two systems to the same person.

Do you think Apple would be making as much money as they do if they only made the ipad, and didn't sell the iphone, ipod and macbooks? Why doesn't Apple "consolidate" their products to create a more "profitable and agile business"??? Seems like instead of getting people to buy two or three different apple products, they could make a lot more money by only selling one product to each person, right!?

Also lol @ the idea that the console market is dying! Xbox 360 and PS3 are still selling like crazy in the US for being old hardware, everyone is salivating over their upcoming consoles, and everyone and their dog now owns a 40inch tv (minimum). Yet people are doing to throw away their new giant TV's and surround sound systems to play video games on a 8 inch screen....right....

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Bankai

AbeVigoda wrote:

Bankai wrote:

AbeVigoda wrote:

What an idiotic premise. It's quite easy upon reading some of these posts to figure out which of you guys have absolutely no understanding of how to run a business.

So Nintendo, who has two profitable streams of revenue coming from handheld and console systems, is going to join them both together, thus turning two separate revenue sources into one? Effectively cutting their own profits in half?! This would be like Apple combining their MacBooks into iPads, and only selling one product rather than selling two. Gimme a break....

This looks like a purely creative move on Nintendo's part. It was done because both of their touch screen systems (3DS and Wii-U) have many similarities, and having both departments working side by side and sharing ideas and resources would help to create new games and increase creative output. Who knows, it may also save Nintendo some money on property costs if both units are sharing the same building.

I think it's quite a leap to believe that just because the handheld and console divisions of Nintendo are now sharing a building, it means that Nintendo will join them together and only produce one product in the future.

I like how you let rip at everyone for apparently not understanding business, but fail to have a clue about it yourself.

Any halfway intelligent company looks to futureproof its business. There's no guarantee that Nintendo's two revenue streams will remain open forever, and if you look at the market trends, it actually looks quite likely that the console business is going to drop out entirely - especially in Japan, which is Nintendo's core focus market.

So Nintendo is taking steps to make sure it's prepared to deal with that possibility.

Furthermore, I would love to see where you pulled the idea that merging two revenue streams would cut profitability in half. That's a childish interpretation of manufacturing business dynamics. If anything, consolidating down the business lines results in a more profitable and agile business.

It's pure denialism to suggest that this move won't impact on the way Nintendo does things.

First you say I don't understand business and that I'm all wrong, then you go on to say that if Nintendo switched to one console, it would make the company MORE profitable?! How?!

Lets be hypothetical and think of it this way, and say by 2017, Nintendo has sold 50 million Wii-U's, and 100 million 3DS's. The Wii-U costs $300, the 3DS is $150 (exact numbers aren't important here). Each system will have 8 titles that will have sold in excess of 10 million copies a piece. Not everyone who bought a Wii-U will buy a 3DS, not everyone who owns a 3DS will want a Wii-U, but around 40% of Wii-U purchasers will have bought a 3DS as well. So Nintendo is not only earning money once from the consumer, but twice if they are in the 40% who own both systems and purchase software for each.

However you on the other hand believe the following scenario would/could be more profitable for Nintendo...

In 2017, Nintendo merges their handheld and console systems into one unit, sells it for $450, and in the following six years sells 40 million of them and has 9 games that sell over 10 million copies each.

Now please explain to me how that DOESN'T cut Nintendo's profits in half? They are now selling half the amount of systems, half the amount of software and lose the entire handheld market by essentially rolling both products into one, making the new system too expensive for the average joe who just wanted the 3DS, and flushing all the money down the toilet they could have made by selling two systems to the same person.

Do you think Apple would be making as much money as they do if they only made the ipad, and didn't sell the iphone, ipod and macbooks? Why doesn't Apple "consolidate" their products to create a more "profitable and agile business"??? Seems like instead of getting people to buy two or three different apple products, they could make a lot more money by only selling one product to each person, right!?

Also lol @ the idea that the console market is dying! Xbox 360 and PS3 are still selling like crazy in the US for being old hardware, everyone is salivating over their upcoming consoles, and everyone and their dog now owns a 40inch tv (minimum). Yet people are doing to throw away their new giant TV's and surround sound systems to play video games on a 8 inch screen....right....

Yeah see, if you're going to criticise people on their business understanding, then you should be an expert yourself. Now I know you're not an executive, an analyst, or anything other than a dude posting on the Internet.

In your hypothetical you seem to fail to understand that focusing on one business line would allow for greater resourcing of that business line. Nintendo would be able to develop additional revenue streams around that product that would have confused the market previously. So as a hypothetical, were Nintendo to develop a handheld console that could stream to the TV, Nintendo would be able to sell peripherals to enhance both experiences, invest more marketing dollars in the product (rather than split the marketing budget two ways), thus selling more of that device. Nintendo would be able to pitch the console to both handheld and TV console gamers, finding audiences that would buy into one product but not the other.

And Nintendo would be able to better support the device through its own development teams and better support the third parties developing games for it. Why do you think Nintendo hasn't branched into phones and Smart TVs and retail stores? Every additional product line requires an disproportionate level of resourcing to turn into a success. If Nintendo were to develop a phone and a Smart TV (so, four products rather than two), it wouldn't double Nintendo's revenue, much less its profits, so I have no idea why you, Mr. Super Businessman, seem to think that halving the product lines would half the profit. Even if it were to halve the revenue, it wouldn't halve the profit because Nintendo would be running leaner. Fewer expenses means more profit obtained from revenue, see?

Apple is a horrible example for your own argument, because Apple runs on fewer product lines than all of its rivals. It has one phone, two tablet devices, two laptops, one PC model with a couple of different screen sizes and a couple of toys like the Apple TV and iPod. Compare to Samsung (which has over a dozen TV models, let alone its other products), and you've killed your own argument that the only way to profitability is to have more product lines. As it is I expect the iPod line to be all but killed off in the next few years.

And apparently you can't read. I said the indication is that the dedicated TV console market is dying in Japan, not the US, and Japan is Nintendo's core market. Furthermore, you seem to have forgotten that it's now possible to steam content from handheld consoles to the TV. It seems very likely that the consoles of the future will be both handheld, and in HD on the TV.

lol indeed.

Edited on by Bankai

AbeVigoda

"it's now possible to steam content from handheld consoles to the TV. It seems very likely that the consoles of the future will be both handheld, and in HD on the TV"

If anyone had any interest in playing "HD console quality games" in a handheld, the Vita would be flying off the shelves. The ability to stream console games to a dedicated handheld is not something people care to do when they know they could be playing the game on a 50inch tv screen instead. This is exactly why the new Nvidia handheld system will be a giant flop.

"So as a hypothetical, were Nintendo to develop a handheld console that could stream to the TV, Nintendo would be able to sell peripherals to enhance both experiences, invest more marketing dollars in the product (rather than split the marketing budget two ways), thus selling more of that device. Nintendo would be able to pitch the console to both handheld and TV console gamers, finding audiences that would buy into one product but not the other."

So rather than sell a $150-200 dedicated handheld and all the games to go along with it, Nintendo will now sell a single $400-450 system that is both, and make more money selling additional peripherals to add on to the system which will either A) just alienate consumers who feel they are being gouged or confuse them with what they are buying or B) fail terribly like the 3DS Circle Pad. A lot of the people who are avoiding the Wii-U now are the people who felt they got burned by the Wii and who own a pile of tennis racket, foam bats and guitar add-ons for the system that now clutter their closets. People don't want to buy a new system, then be forced to buy all sorts of new peripherals to go along with it to play more games or access new services.

"And Nintendo would be able to better support the device through its own development teams and better support the third parties developing games for it"

Third party companies haven't been supporting Nintendo strongly since like 2003 on the Gamecube, they were scared off by the Wii completely and seem to be avoiding the Wii-U like the plauge. There is no way Nintendo will ever again have third party support like Sony and Microsoft receive, no matter what they say or do. Third party companies believe (right or wrong) that only first party games will sell well on Nintendo consoles. Also, Nintendo probably prefers having two seperate systems to release games on. Do you think Nintendo would rather sell eight million copies of a single Zelda game every four years, or sell seven million copies each of a console and handheld version every four years? Whatever their advertising and development expenses are, they are still making waaaay more money if they sell two games rather than one.

"I said the indication is that the dedicated TV console market is dying in Japan, not the US, and Japan is Nintendo's core market."

Huh? Maybe for handhelds, but not for consoles. The Wii has sold 97 million units, 12.6m in Japan, and the other 84 million to people outside Japan. Unless Nintendo plans on becoming a regional company, their console sales figures in Japan won't have nearly as much influence on their console business as do their results in the rest of the world. If they continue to sell 80% of their consoles outside Japan, they have no reason to fear a "shrinking console market" in Japan, thus changing their whole business model drastically.

"Apple is a horrible example for your own argument, because Apple runs on fewer product lines than all of its rivals. It has one phone, two tablet devices, two laptops, one PC model with a couple of different screen sizes and a couple of toys like the Apple TV and iPod. Compare to Samsung (which has over a dozen TV models, let alone its other products), and you've killed your own argument that the only way to profitability is to have more product lines. As it is I expect the iPod line to be all but killed off in the next few years."

The point was that Apple offers a unique product/interface, just like Nintendo does. If you want Facetime, itunes, etc, you need an Apple product. If you want Mario, Zelda, Kirby, you need a Nintendo product. Apple makes a ton of profit because people buy multiple products of theirs to access their services. They want the iphone, they want a macbook, they want an ipad, etc. Oh, new iphone is being released? I want to upgrade. With Nintendo people want the Wii-U, they want the 3DS, they upgrade to the 3DSXL, and they will likely purchase whatever other revised version of the 3DS they may release in the future. They do all this to have access to Nintendo games. If Nintendo streamlines their business and makes it so only one product is ever needed to access their games, and its at a price point that scares away some consumers who would have purchased a stand alone handheld if it was available, I really fail to see how selling one product is better than two.

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moomoo

AbeVigoda wrote:

"it's now possible to steam content from handheld consoles to the TV. It seems very likely that the consoles of the future will be both handheld, and in HD on the TV"

If anyone had any interest in playing "HD console quality games" in a handheld, the Vita would be flying off the shelves. The ability to stream console games to a dedicated handheld is not something people care to do when they know they could be playing the game on a 50inch tv screen instead. This is exactly why the new Nvidia handheld system will be a giant flop.

Come on, man, even I see the flaw in that one. Nintendo's marketing for a product like this would be substantially greater than what Sony is doing with Vita (virtually nothing, so not much to beat) and Nvidia's product, which plays nothing new. Then there's the whole problem that the Vita really doesn't play console games on the go (for the most part, at least when it comes to people's intial reactions on Assassin's Creed, Call of Duty and Uncharted. Of course there are ports, but that's not the point), a flaw that many are quick to point out.

A product that acts as an all-in-one has a lot of potential to be successful. Were Nintendo to make a good approach towards it, it could prove quite profitable.

AbeVigoda wrote:

"So as a hypothetical, were Nintendo to develop a handheld console that could stream to the TV, Nintendo would be able to sell peripherals to enhance both experiences, invest more marketing dollars in the product (rather than split the marketing budget two ways), thus selling more of that device. Nintendo would be able to pitch the console to both handheld and TV console gamers, finding audiences that would buy into one product but not the other."

So rather than sell a $150-200 dedicated handheld and all the games to go along with it, Nintendo will now sell a single $400-450 system that is both, and make more money selling additional peripherals to add on to the system which will either A) just alienate consumers who feel they are being gouged or confuse them with what they are buying or B) fail terribly like the 3DS Circle Pad. A lot of the people who are avoiding the Wii-U now are the people who felt they got burned by the Wii and who own a pile of tennis racket, foam bats and guitar add-ons for the system that now clutter their closets. People don't want to buy a new system, then be forced to buy all sorts of new peripherals to go along with it to play more games or access new services.

Technology changes and drastically decreases in price over a short time. So that system would probably be affordable to produce and sell. As for the peripheral argument, it's a hypothetical (like he said). It's an additional thing Nintendo could put money into.

Edited on by moomoo

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CanisWolfred

@Bankai - I actually came in here expecting a laugh in a half, but you actually bring up some interesting points. I'll have to keep an eye on this news and see where it goes.

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Bankai

"If anyone had any interest in playing "HD console quality games" in a handheld, the Vita would be flying off the shelves. The ability to stream console games to a dedicated handheld is not something people care to do when they know they could be playing the game on a 50inch tv screen instead. This is exactly why the new Nvidia handheld system will be a giant flop."

Why did you deliberately (I hope deliberately) read my comment the wrong way around? I said the technology now exists to stream from handheld to TV. Play the game on the go, come hope and play it on TV. In addition the reason the Vita isn't working is because people, well, have PS3s. It's an entirely different situation to a hypothetical all-in-one Nintendo console.

"So rather than sell a $150-200 dedicated handheld and all the games to go along with it, Nintendo will now sell a single $400-450 system that is both, and make more money selling additional peripherals to add on to the system which will either A) just alienate consumers who feel they are being gouged or confuse them with what they are buying or B) fail terribly like the 3DS Circle Pad. A lot of the people who are avoiding the Wii-U now are the people who felt they got burned by the Wii and who own a pile of tennis racket, foam bats and guitar add-ons for the system that now clutter their closets. People don't want to buy a new system, then be forced to buy all sorts of new peripherals to go along with it to play more games or access new services."

You're assuming prices here. It's not a debate worth happening once assumptions start coming into the equation.

"Huh? Maybe for handhelds, but not for consoles. The Wii has sold 97 million units, 12.6m in Japan, and the other 84 million to people outside Japan. Unless Nintendo plans on becoming a regional company, their console sales figures in Japan won't have nearly as much influence on their console business as do their results in the rest of the world. If they continue to sell 80% of their consoles outside Japan, they have no reason to fear a "shrinking console market" in Japan, thus changing their whole business model drastically."

And Nintendo would be able to market the hypothetical all-in-one console as a home console to the Americans, a handheld to the Japanese. Win-win. No one's suggesting Nintendo might be preparing itself to stop putting games on TVs entirely.

Again, it's a futureproofing move. The assumption that the home console market will remain as successful for Nintendo as the Wii was is, well, insanity.

"The point was that Apple offers a unique product/interface, just like Nintendo does. If you want Facetime, itunes, etc, you need an Apple product. If you want Mario, Zelda, Kirby, you need a Nintendo product. Apple makes a ton of profit because people buy multiple products of theirs to access their services. They want the iphone, they want a macbook, they want an ipad, etc. Oh, new iphone is being released? I want to upgrade. With Nintendo people want the Wii-U, they want the 3DS, they upgrade to the 3DSXL, and they will likely purchase whatever other revised version of the 3DS they may release in the future. They do all this to have access to Nintendo games. If Nintendo streamlines their business and makes it so only one product is ever needed to access their games, and its at a price point that scares away some consumers who would have purchased a stand alone handheld if it was available, I really fail to see how selling one product is better than two."

The iPhone will kill off the iPod. Because the iPhone has the iPod technology built into it.

Just one example - but Apple is always looking to consolidate down its product lines.

Jaz007

One potential problem though is that it would cost some good money to make this device and would be the cost if a console which could turn off some handheld only buyers who don't want to pay that much for a game system. Then personal nature of handheld devices would also be a problem a family would not be eager to buy a console priced handheld, so that would have to go, plus multiple kids getting a system would probably go out the door so that could hurt. Size might also be a problem because it would need to pretty big to match the Wii U controller for TV gaming.

Jaz007

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