Nintendo Profits Nosedive
- Thread starter Andy Chalk
- Start date
This pretty much hits the nail on the head I believe, pandering to a non-gaming crowd was fine while it was new and popular but it would appear that the initial rush of success has now given way to the fact that this was never going to be a long term or sustainable thing.-Zen- said:
Odds are on that there are a large number of people who bought their Wii's, played them regularly with their friends for a while and then...lost interest (either moved onto other stuff or wanted a new console, either way, the Wii would be either gathering dust or getting traded in).
It's also got to be taken into account that the Wii's only unique feature was the fact that it had motion controls, now that everyone has them you could argue that there's no point getting a Wii anymore since you can now get the Wii experience in a PS3 or 360 but you can't get the Xbox/PS3 experience on a Wii (to a certain extent the Wii has become slightly obsolete).
Let's look at this shall we. Is it any surprise now that the xbox 360 and PS3 have motion controls anyone really wants the "Gamecube Motion Control Package" errrrr I mean the Wii. Well they milked the Gamecube for a good decade almost although they did have to repackage/rename it halfway through and add a shitty motion controller to get it to really take off . . . .
I'm not really concerned for Nintendo. They've already won the console war, unfortunately. It's probably a good move to release the 3DS now, given that everyone who's going to buy a Wii or DSi/lite/XL/bollocks already has. All they need to do is jump on to the newest gimmick, toss it out onto the market and continue milking families dry. Rinse, repeat.
You can't sell something to people that already have it? Is that what you're saying?Irridium said:
At the moment they can afford to be down by as much in the next 5 quarters (up to next April) and hit 100 mil Wiis sold. Wii software also did it's bigger quarter since release this year and is curently sitting at around 700 million units, so people do in fact by Wii games. Wii software projections for the year have been increased.
The DS is now 7 years old and still moves massive amounts of software and at this rate will probably hit 900 million to maybe 1 billion software units when all is said and done depending on how long retailers keep stock of new games and how fast pubs jump ship. DS software predictions for the year have been increased too.
From Nintendo's expectations of 22.5 million handhelds sold this FY we can easily deduce that they expect to sell around 3-4 million 3DS units in the time that it is on the market. (1 month in Japan, around 5 days in the EU and US)
Profits for this FY have been smashed by the Yen being so strong in comparison to the Dollar. In the last quarter it gained almost 8% on the dollar and yet the last quarter was actually profitable for them meaning it was the first two quarters that have caused the massive declines YOY. This can be explained by large investment on new manufacturing lines for the 3DS and also R+D costs associated but I'll have to wait for the EOY report to see if that was the case.
When you're still selling 15 million plus consoles per year though doom and gloom is rather amusing to see but I can't help appreciate that it's driving the stock price down before the 3DS launch which will end up making me a tidy profit.
There we go a decent write up of the quarterly report.
The DS is now 7 years old and still moves massive amounts of software and at this rate will probably hit 900 million to maybe 1 billion software units when all is said and done depending on how long retailers keep stock of new games and how fast pubs jump ship. DS software predictions for the year have been increased too.
From Nintendo's expectations of 22.5 million handhelds sold this FY we can easily deduce that they expect to sell around 3-4 million 3DS units in the time that it is on the market. (1 month in Japan, around 5 days in the EU and US)
Profits for this FY have been smashed by the Yen being so strong in comparison to the Dollar. In the last quarter it gained almost 8% on the dollar and yet the last quarter was actually profitable for them meaning it was the first two quarters that have caused the massive declines YOY. This can be explained by large investment on new manufacturing lines for the 3DS and also R+D costs associated but I'll have to wait for the EOY report to see if that was the case.
When you're still selling 15 million plus consoles per year though doom and gloom is rather amusing to see but I can't help appreciate that it's driving the stock price down before the 3DS launch which will end up making me a tidy profit.
There we go a decent write up of the quarterly report.
Nintendo lost it when they did not do three crucial things.
A) They didn't upgrade the console graphics from gamecube to wii.
B) They didn't bother to give a shit about the real gaming audience that bought their products.
C) They didn't make the Wii their flagship system. If you don't know already, it's the DS. That's why there's 400 different versions of it and more of Nintendo's big advertising is for that system. The game nintendo puts out that they consider the "big games" are DS games.
If there's anyone still loyal to Nintendo, it's officially over. If Nintendo doesn't realize what they've done wrong after this, we've officially been abandoned
A) They didn't upgrade the console graphics from gamecube to wii.
B) They didn't bother to give a shit about the real gaming audience that bought their products.
C) They didn't make the Wii their flagship system. If you don't know already, it's the DS. That's why there's 400 different versions of it and more of Nintendo's big advertising is for that system. The game nintendo puts out that they consider the "big games" are DS games.
If there's anyone still loyal to Nintendo, it's officially over. If Nintendo doesn't realize what they've done wrong after this, we've officially been abandoned
Agreed. Maybe making more good games for the console. A handful a year isn't likely to keep us all interested forever.Negatempest said:
I think I said a similar thing when the DSXL was announced and released too. I think I also mentioned how it felt similar to the rapid release of Sega Consoles back in the 90's. I don't think Nintendo will fail nearly that badly, but it might be wise for the company to start slowing down a bit. Especially since, with the 3DS, it will render 4 devices that were released in the past seven years obsolete (DS, DS Lite, DSi, DSXL). Am I the only one that sees the problem?are.you.the.god.its.me.vader said:
I'm a Nintendo fan, but I think Zelda is the most boring piece of crap I've ever played. But remaking a boring, crappy game only annoys me more. Why not remake something good? Or make something new that's good?Spot1990 said:
(I'm done quote people now. I just could let that last one go though).
Well you should subtract the population percentage that has no access to clean water or food as well haha, somehow I don't think they're out buying Wiis in Somalia.Mornelithe said:
the only reason i think its slumping is because almost every american and japanese individual has one, so theyve flooded their own market meaning there are so few customers left to sell to