The financials behind Nintendo going 3rd party

[Teeqoz]

the_dengle said:

Teeqoz said:

No, potentially it's a lot more profitable for them, even if we presume their next platform is a moderate success (N64 level, 30-35 million sales). If Nintendo, in some magic way would be able to even come remotely close (70 million +) to replicating the Wii's success, then sure, going third party wouldn't benefit them.

I didn't forget to factor inthe increased costs of developping for two or more platforms at once, but I don't really know how much it would cost to port a Nintendo game from the PS4 to the XBO or vice versa.

You haven't convinced me of such. Their games sell pretty well on a console with under 10 million sales, and would presumably sell great on a console with 30 million. 30% more sales is not the amount needed for a huge increase in profits, it's the amount needed to break even on going third-party. A ten-million seller would have to sell at least 15 million to justify the shift. And they would lose the potential of hitting it big with a Wii-like (or even NES-like) success. Giving up the control they have over their ecosystem and the possibility of reasonably popular hardware is a risky endeavor.

The attach rate off their games would scale even if the console sold 30 million. I know Mario Kart 8 has like a 50% attach rate to the Wii U, but it wouldn't have sold 15 million if the Wii U had sold 30 million. How many 10 million sellers do Nintendo have (for home console)? I can't think of any. I can think of plenty that could be if they released them on more platforms.