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It will be interesting to see the financial terms they have with this company.

There are 30m Wii units in the market - and probably close to 100m Wiimotes.

If Ninty is serious about "getting all Wiimotes upgraded" (making it affordable to do so), there is a serious cost involved.

If Ninty pays InvenSense say $2 per 'Motion +' unit - that is $200m over the existing 100m Wiimotes.

If the Wii ends up selling 100m units lifetime, there could be as many as 250m - 350m Wiimotes in the market. If there is one Motion + for each Wiimote (or they end up getting bundled or even built-in), that could come to $500m - $700m in license fees.

Covering that would be the primary reason I think Ninty should look at purchasing the company - but its likely that whatever deal they have done with them has involved a significant upfront payment, in exchange for either a significantly reduced license fee for a period of time.

...

These numbers are all estimates, but I just want to demonstrate the lifetime quantities of money/license fees that could be involved.



Gesta Non Verba

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