Two points concerning china:
First:
its good for Nintendo. The reason being that BigN is building brand awareness of its products now and might gain loyal customers because of chinese playing pirated games. I think nintendo survived last gen cause of all the loyal fans they got with NES/SNES.
Now eventually, during the next years (hopefully?) the percentage of pirated games will decrease - higher income might lead people to look for non pirated games. and they will know the brand name of Nintendo as their favorite choice for a system.
Heard the same argument about some music groups/ fashion labels not minding the piracy issue - all about building brand name and brand recognition for later on. Also, the reason why PS1 killed N64 was cause everyone and their mother played pirated games, even in the west. that built the brand awareness and made sony happy and richer.
Second:
any idea on how this issue of pirated games could be calculated into the attach rate? I mean if out of 10 million consoles 2 million are only used for pirated games, any way of estimating the "real legal" attach rate? I know its the same issue for PSP, but still.
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