TheLastStarFighter on 22 January 2014
| RolStoppable said: Sony's actions certainly had an impact on Nintendo. The same holds true for Microsoft who aren't mentioned by this Japanese analyst, likely due to Microsoft's irrelevance in Japan. Sony and Microsoft both bought their way into the video game market. They also heavily subsidize hardware to push consoles with higher processing power into the market. Naturally, that changes the expectations of third party publishers who feel entitled to get paid off for delivering content and will use the Sony/Microsoft platforms as the standard. That pretty much puts Nintendo in a situation where they have to choose the lesser of two evils: 1) Stay the course of profitability by sticking to selling hardware at a profit and acceptance that a sizeable chunk of third party content won't arrive on the system due to disparity in processing power and lack of moneyhats. 2) Engage in the arms race and shell out money for third party content, but with the high risk that profitability might not be attained over the full course of a system's lifecycle. |
Well said. I think now Nintendo must embrace the subscription model used by competitors to offer a more powerful, much more expensive system while maintaining profitability. That or go after a completely different consumer.
