They need to have more IP, but they can't.
Nintendo's in a bit of a catch-22. With each generation it becomes slightly more energy intensive to make a game, so the logical thing to do is to slowly cut back on the IP they offer. It's just not possible for Nintendo to develop titles for the IP they already have in the available timeframe. Result? Less IP overall, and more conservatively designed games within the remaining IP's.
It's easy to say "make more IP" when you aren't in Nintendo. In practice this would mean stealing people working on the new Zelda or some other big IP title to work on something completely unproven. They can find a couple of chances, maybe, but by and large the big IP will win out.
Considering the pickle, Nintendo is actually doing OK.
I would actually rather see Nintendo renovate IP than create it. Nintendo's big selling point has always been nostalgia. Let me give you a hypothetical example just to show how this could work:
- Nintendo buys the defunct Parasite Eve IP from Square Enix. Considering PE had a terrible last release on top of license issues, this will be a cheap acquisition.
- Nintendo reinvents the IP, makes a game and sells it. Everyone is astonished because Nintendo made a Survival Horror game. Much fanfare and sales.
- Nintendo sells the new brand BACK to Square Enix, probably at a profit because it's now a viable title, and reminds them that the fanbase is now on their hardware. Nintendo will get licenses from future sales and a boost to their hardware.
Bam. I count three ways to make money on one project.
