Nintendo Forced To Pay Royalties to Tomita on Every 3DS Sold

VG_Addict

New member
Jul 16, 2013
651
0
0
Tell us how Eternal Champions was good, and not another fighting game trying to ride the coattails of MK and SF.

Does Nintendo have anything similar to Virtua Fighter? You mean other than Smash Bros?

Space Channel 5: Elite Beat Agents.

Now let me turn this question around on you: Did Sega have anything similar to Startropics? Advance Wars? Fire Emblem? Excitebike? Kid Icarus? Pushmo? Sin and Punishment? Star Fox?
 

VG_Addict

New member
Jul 16, 2013
651
0
0
NearLifeExperience said:
I'm very pleased with this, give Nintendo a taste of their own medicine!

FalloutJack said:
Aaand that was the death of 3D handheld gaming right there. Ouch.
Implying that the 3DS wasn't doomed already? I think the fact that they released a 2DS is pretty much a testament of that. It's basically Nintendo saying "Hey, remember when we had this 3d thing? Yeah, we know that was shit"
The 3DS is doomed? The same 3DS that surpassed the Wii in sales in Japan in half the time?
 

NearLifeExperience

New member
Oct 21, 2012
281
0
0
VG_Addict said:
NearLifeExperience said:
I'm very pleased with this, give Nintendo a taste of their own medicine!

FalloutJack said:
Aaand that was the death of 3D handheld gaming right there. Ouch.
Implying that the 3DS wasn't doomed already? I think the fact that they released a 2DS is pretty much a testament of that. It's basically Nintendo saying "Hey, remember when we had this 3d thing? Yeah, we know that was shit"
The 3DS is doomed? The same 3DS that surpassed the Wii in sales in Japan in half the time?
Not surprising, Japanese will buy anything with Mario's face on it. And who could blame them, it's their national pride in videogaming.

Maybe 'doomed' is a bit exaggerated, but it sure as hell wasn't a success in the rest of the world.
 

NSGrendel

New member
Jul 1, 2010
110
0
0
NearLifeExperience said:
NSGrendel said:
http://en.wikipedia.org/wiki/Nintendo_3DS
Thanks, that might come in handy the next time I forget what a 3DS is (next week, probably)
Never allow facts to get in the way in the "no spin zone", eh?
 

Aiddon_v1legacy

New member
Nov 19, 2009
3,672
0
0
DiscoRhombus said:
I really don't understand this train of thought. Why should an individual profit from the work of a game company? If most of these Let's Players didn't have a game to play then we wouldn't watch them. They owe their entire success to the games they play and the companies that develop them. I don't think they deserve to monetise their videos when all they are doing is providing asinine commentary over a copyrighted product.

Let them get a real job. Nintendo has every right to take the ad revenue from those videos.
Plus, from what I remember, the Youtube Partners EULA is supposed to forbid Let's Plays in the first place. Unless said videos were satirical or educational then those Let's Players weren't playing by the rules and thus they pretty much forfeited the right to monetization the second they did that. Furthermore, I think a lot of the problem laid with Youtube's screening process. There's just too much content to have to sift through; there aren't enough people at desks or hours in the day to go through all the channels and properly screen them. So it always came off as it being more Youtube's fault than anything, like with the latest fiasco.
 

Yopaz

Sarcastic overlord
Jun 3, 2009
6,092
0
0
NearLifeExperience said:
Maybe 'doomed' is a bit exaggerated, but it sure as hell wasn't a success in the rest of the world.
No, it wasn't an exaggeration. It was downright wrong. The 3DS was doing poorly after its launch, but it picked up It's been more than 2 full years since it was doing poorly. A price drop and getting games made it sell quite well. It holds 85% of the handheld market saying that it's doomed seems to be based more on your opinion and hopes rather than actual facts.
 

Roxas1359

Burn, Burn it All!
Aug 8, 2009
33,758
1
0
CmRet said:
So, what does this mean exactly? Does this mean the 3DS is over and done with? 15 Million is nothing to sneeze at and I'd seriously hate to see that converted into Japanese Yen (Although, I do have an app for that)
It means Nintendo is probably gonna be pushing the 2DS more than the 3DS because they don't have to pay royalties for that device. 15 million is nothing to Nintendo, but the fact that they'd have to pay 1.82% for every 3DS sold adds up over time. Now we just wait for the inevitable 2DS with a clampshell design. XD
 

Dragonbums

Indulge in it's whiffy sensation
May 9, 2013
3,307
0
0
Neronium said:
CmRet said:
So, what does this mean exactly? Does this mean the 3DS is over and done with? 15 Million is nothing to sneeze at and I'd seriously hate to see that converted into Japanese Yen (Although, I do have an app for that)
It means Nintendo is probably gonna be pushing the 2DS more than the 3DS because they don't have to pay royalties for that device. 15 million is nothing to Nintendo, but the fact that they'd have to pay 1.82% for every 3DS sold adds up over time. Now we just wait for the inevitable 2DS with a clampshell design. XD
Or maybe they can coyly change the inner working designs of all future 3DS's so they avoid the patent they are forced to pay royalties for.
 

Roxas1359

Burn, Burn it All!
Aug 8, 2009
33,758
1
0
Dragonbums said:
Or maybe they can coyly change the inner working designs of all future 3DS's so they avoid the patent they are forced to pay royalties for.
In all honesty though, why continue producing 3DS' and XLs when no one uses the 3D at all, and it's way cheaper to produce 2DS' since all R&D for it along with all the productions are done. Mainly the patent infringement in this case wasn't the camera, so Nintendo would have to spend more money then they'd need to in order to modify the 3DS and the XL models so that they don't have to pay royalties. Honestly I don't see Nintendo wasting time on that as much really since unlike how the GameCube's later models were designed without the component jack, this case would require more money and hassle than just focusing on the 2DS which is already out, is way cheaper to produce, and is immune to paying royalties.
 

Someone Depressing

New member
Jan 16, 2011
2,417
0
0
This is a miscarriage of justice. An abortion of rights. A big shit taken on law. A steaming bucket of piss spilled onto creative right.

Tomita is a troll.

And why is it being settled in the US?

I smell a bribe.
 

Dragonbums

Indulge in it's whiffy sensation
May 9, 2013
3,307
0
0
Neronium said:
Dragonbums said:
Or maybe they can coyly change the inner working designs of all future 3DS's so they avoid the patent they are forced to pay royalties for.
In all honesty though, why continue producing 3DS' and XLs when no one uses the 3D at all, and it's way cheaper to produce 2DS' since all R&D for it along with all the productions are done. Mainly the patent infringement in this case wasn't the camera, so Nintendo would have to spend more money then they'd need to in order to modify the 3DS and the XL models so that they don't have to pay royalties. Honestly I don't see Nintendo wasting time on that as much really since unlike how the GameCube's later models were designed without the component jack, this case would require more money and hassle than just focusing on the 2DS which is already out, is way cheaper to produce, and is immune to paying royalties.
Why would they stop? Just because nobody is using the 3D on the 3DS doesn't mean, nobody doesn't want the clampshell design of the 3DS.

Especially when the 3DS XL is selling like hotcakes.

I mean, look at how upset the Escapists got at the notion that they would phase out the 3D part of the 2DS models even we as a collective couldn't give a shit about it?
 

Roxas1359

Burn, Burn it All!
Aug 8, 2009
33,758
1
0
Dragonbums said:
Why would they stop? Just because nobody is using the 3D on the 3DS doesn't mean, nobody doesn't want the clampshell design of the 3DS.

Especially when the 3DS XL is selling like hotcakes.

I mean, look at how upset the Escapists got at the notion that they would phase out the 3D part of the 2DS models even we as a collective couldn't give a shit about it?
Thing is though, they've never had to pay royalties on any of their systems before. While 1.82% doesn't seem like much alone, that's about $3.60 or so per 3DS XL and given the millions of units that have sold then it will add up. Plus it's not that they have to pay it only one time, they have to continue paying that amount for as long as the regular 3DS and the XL models sell. If Nintendo were to bring back the clampshell for the 2DS then most people will have something they want back, you can never please everyone though. Really it all depends on how Nintendo handles it, but I don't think they'd like the fact that they have to pay a royalty for ever 3DS and XL sold, even if their stocks and worth are up so much it's still gonna be seen as a loss from what they would initially make. I mean really the regular 3DS' have been nearly phased out as it is when it comes to buying them in certain retailers, since retailers are carrying more and more XL units. It's similar to how you will rarely see the Basic editions of the Wii U in stores anymore as they've been replaced with the Deluxe edition of the Wii U.

Nintendo tends to do that when they develop a newer version of their system, especially in the handheld sector. When the SP came out, the amount of regular GBA's in stores being sold as new decreased until it was pretty much entirely replaced with the SP. The DS line had the same thing, with the titanium bricks phasing out the DS Lites, and the DS Lites being phased out by the DSis. Same thing is gonna happen with the 3DS more than likely with the 2DS possibly getting some sort of redesign to then phase out the 3DS XLs, many have been predicting a 2DS XL model since this story was out.

All in all one must remember that Nintendo is still a company that is out to make money, and being forced to pay royalties for the device that is selling like hotcakes will diminish the maximum profits that they were once making.

The 3DS has sold as of this point, 11.5 million in the United States alone. Let's assume that half of those are the regular 3DS, about 400k are the 2DS which doesn't have to pay royalties, and the rest are the 3DS XL. So that makes it so that they have to pay royalties on 11.1 million 3DS right now, and as long as the XL and regular version still sell then they have to continue paying royalties for as long as it's supported. The original 3DS currently sells at a price of $179.99, and the 3DS XL currently sells at a price of $199.99. For every 3DS that's sold Nintendo must pay 1.82% of the price of each one. So that means for every regular 3DS Nintendo sells, they must pay $3.28, and for every 3DS XL they sell they must pay $3.63, bundles they'll have to pay more but I'm just going off regular models and not limited edition ones. So that means that puts the total together at $6.91 for every 1 3DS and 3DS XL Nintendo sells. Multiply that by 11.1 million, and Nintendo now has to pay around $7,601,000 for 3DS' sold in the North American region and will not be able to keep that money at all. Meanwhile, if they were to just go to the 2DS then they get to keep that money and don't get a loss. Plus right now they still have to pay the $15.1 million as per court order. It could have been worse because the original percentage was 2.3% or something, but the jury threw that out and the judge cut the damages fine in half from $30 million to $15.1 million

Note that the figures I used were an estimate, but the fact still remains that Nintendo is losing money and not making as much as they used to with the 3DS and the 3DS XL. Now they can continue to sell the 3DS and the XL models as they are right now if they so want to, but they'd have to accept that they are no longer earning as much money on it as well as the fact that they actually have to pay royalties.
 

Aardvaarkman

I am the one who eats ants!
Jul 14, 2011
1,262
0
0
Neronium said:
If company in the world are the most ruthless when it comes to patent trolling, it would be Apple,
Not true.

Neronium said:
the lovely company that trademarked rectangles with rounded corners...>.>
Also not true.

Why do people just make stuff up like this, especially on the topic of patents? It's pretty crazy. It seems whenever this topic comes up, people just post stuff not based in fact, perhaps because the saw somebody else write it in a forum, and didn't bother to check if it was a valid claim.
 

Roxas1359

Burn, Burn it All!
Aug 8, 2009
33,758
1
0
Aardvaarkman said:
Neronium said:
If company in the world are the most ruthless when it comes to patent trolling, it would be Apple,
Not true.

Neronium said:
the lovely company that trademarked rectangles with rounded corners...>.>
Also not true.

Why do people just make stuff up like this, especially on the topic of patents? It's pretty crazy. It seems whenever this topic comes up, people just post stuff not based in fact, perhaps because the saw somebody else write it in a forum, and didn't bother to check if it was a valid claim.
Um, yeah they do have that patent, and they are notorious for suing based on patents. Have you not been paying attention to the multiple times Apple has sued someone over patents. Honestly how could you not have seen anything about these cases at all, because Apple is notorious for it.
 

Aardvaarkman

I am the one who eats ants!
Jul 14, 2011
1,262
0
0
Neronium said:
No, they don't. The patent linked in the article is not a patent on rounded rectangles, and the article you linked to erroneously describes the patent, and you are just repeating this misinformation.

Neronium said:
and they are notorious for suing based on patents.
Uh, "suing over patents" does not make a company a patent troll. A patent troll is a company that buys up patents in order to sue other companies, with no intention of using them for products. For Apple to be the biggest patent troll, it would have to be a patent troll in the first place. Whatever you think of the validity of patents, Apple uses them to protect its products. It's not a patent troll.

As for Apple somehow doing it more than other companies, do you have any statistics to show that Apple does it more than other large tech companies? Microsoft, Google, IBM, all of them are always involved in patent litigation. If you're going to claim that one company is more egregious than the others, then some actual evidence would be helpful.

A company that could actually be considered a patent troll and is far more notorious for patent lawsuits than Apple would be Intellectual Ventures: http://en.wikipedia.org/wiki/Intellectual_Ventures