Iwata: "we´re thinking about a new business structure"

[Mr Khan]

Soundwave said:

What I gather is that Nintendo is growing frustrated with trying to sell consoles. Aside from the Wii era they have been in tough with consoles for 15 years now and it's finally starting to burn them financially.

Truth is the market for a "family friendly" console simply isn't there anymore. The console market is driven by people who want something more along the lines of what Sony/MS offer, not Nintendo's model of basically a modernized N64 every gen.

The Wii was just a freak success, not a sustainable business model in the long run. 

Maybe a Steam-meets-Netflix type service might be under consideration? One where the consumer doesn't have to pay for any hardware or just a moderate cost? 

I disagree with the idea that the Wii was a freak success. The Wii was serving an underserved end of the market, and since Nintendo bought into the industry bullshit that these customers were lesser customers, have not been serving them properly. The casuals moved on because of Nintendo's bungled handling of the latter phase of the Wii's lifecycle, not because they simply don't care about gaming and would rather engage on phones.

The Wii U's entire problems are that Nintendo was once again trying their hand at making what they think passes for a red ocean console, but as I said in another thread, the idea of making something like a PS3 or a 360 is just completely out of Nintendo's frame of reference. Their engineers *could* make a competitive console, but they're so wrapped up in the idea of "withered technology" that any attempts at making a competitive console end up creating something strange, in-between, and undesirable.

Ergo, Nintendo either needs to completely clean house at their hardware engineering department and rebuild from scratch (which isn't going to happen), or sit back and try to focus on applying their strengths to the market needs again.