Nintendo President Tatsumi Kimishima Apparently Didn’t Say The Wii U Would Fail

4 Dec 2015 | Author: | No comments yet »

Nintendo plays strategy gamesNintendo’s new president Tatsumi Kimishima told Time magazine in an interview that the NX video game console won’t just be an extension of the Wii or Wii U game consoles.The Japanese electronics maker – one of the world’s biggest video game companies but a virtual nonentity in the rapidly growing mobile games industry – unveiled its first title for smartphones in November in Tokyo. Resembling a mini-arcade, but with no coins or bills demanded, the fun zone offers gamers the chance to try before buying (or asking Santa to get ‘em) all the hot new games available for Nintendo’s current portable and console systems.

Miitomo, which is set to be released in the spring of next year, is a game that allows players to create avatars to interact with one another socially. So with that in mind, he’s taking a brand new approach to the Nx, which we known next to nothing about so far but insiders believe could release as early as next year. The interview is the first major Western interview for Kimishima, who has the difficult job of making sure that Nintendo catches up with its rivals and takes on a bigger role in modern digital gaming. The Japanese gaming giants are yet to comment on any reports, But Macquarie Capital Securities analyst David Gibson believes that a 2016 release for the highly-anticipated console looks likely. Here, they’re seemingly playing a different kind of game – hoping to get on-the-fence consumers to put off holiday purchases of rival systems (Sony’s PlayStation 4 and Microsoft’s Xbox One) – because Nintendo’s next big thing is just around the corner, going into production in Q2 2016 then having a big coming-out party at the E3 convention in June, reports DigiTimes.

The long-overdue move is an effort to tap into the lucrative and cutthroat world of mobile games that has exploded with the proliferation of smartphones and tablets. He told the Wall Street Journal recentlyl: “We are increasingly of the idea that Nintendo might launch the NX in 2016 because of the softness of 3DS and Wii U.” He called the upcoming NX console as “a next step in our dedicated device strategy, the core and primary focus of our business.” He added, “As far as NX goes, I’ve said it’s different and obviously a new experience. If you look back to the beginning of our conversation today, we talked about the transition from Wii hardware to the Wii U hardware and how difficult it is to explain to the consumer base what is different and new about the new hardware.

Even Kim Kardashian scored big when she launched Kim Kardashian: Hollywood last year, with the addictive mobile game raking in $1.6 million in its first five days. This year marks the first time mobile gaming revenue will exceed console gaming revenue globally, at US$30 billion versus US$27 billion, according to video game market research firm Newzoo. Nintendo’s popular franchises, which include Super Mario and Zelda, “have the potential to be a billion-dollar business on mobile alone”, says Peter Warman, Newzoo’s co-founder and chief executive. “Unbelievable that it has taken so long for Nintendo,” he says. “They had to see Apple, Google, King and Supercell surpass them in terms of 2014 game revenues to take action towards mobile. On the portable game system front, where Nintendo still rules, you can have quality time with the just-out “Yo-Kai Watch” (a Japanese sensation with its own animated TV series) plus other 3DS titles like “The Legend of Zelda: Tri-Force Heroes,” “Pokemon Super Mystery Dungeon,” “Animal Crossing: Happy Home Designer,” “Chibi-Robo!

However, it never is too late because smartphone and tablet gaming is here to stay.” “Both companies will develop and operate new game apps based on Nintendo’s [intellectual property], including its iconic game characters, for smart devices,” DeNA said in a statement. “The alliance is intended to complement Nintendo’s dedicated video game systems business and extend Nintendo’s reach into the vast market of smart device users worldwide.” Its troubles began when casual gamers who enjoyed Nintendo’s family-friendly titles migrated from home and hand-held game consoles to mobile devices, where they found similar games made by rival developers, often available free. It’s something where we have to move away from those platforms in order to make it something that will appeal to our consumer base.” Customers don’t just get irritated when you screw up cross-channel personalization.

At the same time, consoles such as PlayStation and Xbox started serving hardcore gamers with graphically rich titles, many with heart-pounding violence. The console has sold more than 10 million units since 2012, while Sony has sold more than 30 million PlayStation 4 consoles and Microsoft has sold about 15.6 million (based on company reports and VGChartz). So we can’t just abandon them and say ‘Hey, it’s time to move on to the next thing.’” “Nintendo has talked for years about increasing the gaming population,” Kimishima said to Time. “But to further that goal, we want to increase the population who has access to Nintendo’s IP first and foremost.

Of course the smart device business is not a simple business, it is a highly competitive business, and so for us just to take our IP and drop it into the smart device business, in that existing red ocean, I believe would not be a very successful strategy to take.” Kimishima said that the My Nintendo and Nintendo Account systems would help unify Nintendo’s properties across all platforms, as a kind of new, cross-platform version of the now-discontinued Club Nintendo rewards program. Ideally, the move into mobile games satisfies long-time customers while enticing new ones to the Nintendo brand, which might in turn lead them to buy Nintendo’s consoles.

The good news for Nintendo is that emerging markets are embracing mobile games. “Top global game franchises generate US$1 billion-plus per year – examples being Candy Crush, Clash of Clans, Call of Duty and GTA. The companies also said it would build an online membership service for consumers that would be accessible from smart devices, PCs and Nintendo consoles.

Although it turned an operating profit of 9 billion yen, compared with a loss of 215 million yen in the year-earlier period, that was lower than expected. Samantha O’Neill – better known as NintendoFanGirl to her 61,000 YouTube subscribers – says a mobile game will be a welcome addition to the company’s storied line-up.

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