During the recent investor Q&A, Satoru Iwata faced a number of questions about the future of the video game market and where Nintendo will position itself within it.
One growing area of the industry is cloud gaming, which allows players to stream a game from a company's server directly to their console or computer.
This prompted one investor to ask Iwata if Nintendo was considering entering the cloud gaming market in the future. Nintendo's president said the company was naturally keeping a watchful eye on developments in all aspects of gaming, but that it had no current plans to adopt cloud technology for actual gameplay:
I believe that there are games that have an affinity with cloud gaming and games that do not. Of course, we constantly pay attention to the advances and changes in cloud gaming technology and internet infrastructure. On the other hand, I don’t think that our games, particularly the types that have strict requirements in terms of real-time responsiveness, can offer high-quality services using cloud gaming technology because of unavoidable network latency, which I mentioned last time.
We will of course continue to see how this technology develops, but in order to decide whether cloud gaming is something that we should be interested in, we will need to closely follow the changes in technology and also the business environment. However, at this point in time, I do not think that acquiring a cloud gaming company will in any way improve our performance, so we are not moving in that direction.
Of course this could all change as cloud and internet technologies progress, but for now it appears Iwata does not believe the platform is ready to support the games Nintendo creates.
What are your thoughts on cloud gaming? Do you think there's a future in it? Let us know in the comments section below.