that will be good and bad at the same time
| Mr Khan said: Now is not the time for anyone to hitch their wagon to Sony's star, from a sheer financial perspective. Nintendo could end up with huge liabilities if Sony succumbs to its debt burden. Also major strategic incompatibilities. |
That's why I said partnership, not any type of merger. Nintendo has no part of Sony's debt, and never has to. They remain seperate financial entities.
Like Panasonic is part of the Blu-Ray consortium, so is Sony. It's not like Panasonic has to assume Sony's financial troubles ... totally seperate. They just chose to partner together on a hardware/software format known as Blu-Ray for mutual benefit (and because no one wants VHS/Beta split ever again).
Soundwave said:
Both companies wouldn't have the same ideas and approaches in mind with their first party. And if they were to handle their own original FP studios and not make decisions for the other, then it kindoff nulifies part of the partnership in the first place. Who says either Nintendo or Sony want an XBL service? Both just want a big audience, and no doubt I see things with the Miis + Miiverse and not to mention Nintendo's incredible back catalog of classic software that would be extremely appealling to Sony. You're missing my point here, which is that both companies don't have obvious weaknesses where the other has strengths, like you said. They both have a weakness in the same area. Microsoft and Sony is more fitting here because Microsoft has a strength where Sony has a weakness, Microsoft can help Sony here, just as Sony can help Microsoft when it comes to first party infrastructure. Yeah XBL is great ... but I mean lets just think of the Virtual Console potentially -- NES, SNES, N64, Playstation, PS2, GameCube, Wii, PS3. Good luck competing with that, Microsoft. Could happen with Nintendo, but not with Sony. Sony have clearly gone down the route of re-releasing games from last-gen platforms with improvements to graphics or performance on current-gen platforms. Nintendo aren't doing this. What about this? " Sony sells consoles at a loss at launch, Nintendo doesn't and I don't think they'd be willing to with Sony's partnership, it's not any form of security considering Sony's financial state, in fact it'd probably raise the risk." |
Soundwave said:
Like Panasonic is part of the Blu-Ray consortium, so is Sony. It's not like Panasonic has to assume Sony's financial troubles ... totally seperate. They just chose to partner together on a hardware/software format known as Blu-Ray for mutual benefit (and because no one wants VHS/Beta split ever again). |
Right, it certainly wouldn't be a merger, but the possibility of Sony's complete breakup/liquidation could make such a thing leery. What i meant by "liability" was that, if Sony were to fall into dire straits, Nintendo would be on for the entirety of the joint venture, or the joint venture would be damaged to a point that it would hurt Nintendo as well.
It's still not wise at this point in time.
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Mr Khan said:
Right, it certainly wouldn't be a merger, but the possibility of Sony's complete breakup/liquidation could make such a thing leery. What i meant by "liability" was that, if Sony were to fall into dire straits, Nintendo would be on for the entirety of the joint venture, or the joint venture would be damaged to a point that it would hurt Nintendo as well. It's still not wise at this point in time. |
Not only is it not wise for Nintendo to take the risk but Nintendo could be a major beneficiary of significant financial turmoil within Sony ...
Trouble for Sony could delay the release of their next console, might release their console at a high price (because they can't afford to subsidize the system), might have resource starved development teams, and probably can't afford to "money hat" any games. This undermines Sony's typical strategy and could result in substantial problems in the next generation. While not all of Sony's lost sales will translate into sales for Nintendo, weaker competition (especially in Europe and Japan) could help Nintendo substantially.
Already happened the play-station 1 was the CD attachment for the S-nes back in the day, and how did that end up.
Won't happen again.
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Nintendo, whether they want to admit it or not at some point is going to have to face up and come up with an answer to the rising cell phone/tablet market or watch their handheld stronghold eventually erode away piece by piece. We're getting to the point now where even young kids are going to get very capable smartphones at age 7-9.
No one is going to buy a Nintendo phone, they're going to have to eventually partner with someone who has established infrastructure in that area. Why not Sony?
We're looking too much through the prism of "well Sony/Nintendo are rivals for so long, I can't see them together", but honestly I think it makes a lot of sense if they can come to the right agreement on profit/revenue sharing. IMO, Sony would have to give Nintendo a nice sweetheart deal to win them over.
And yes, I think most everyone is aware that Sony + Nintendo had an agreement for a CD-ROM. That deal was signed actually in 1988, 24 years ago. That's ancient history, times change. If Sony can work with Panasonic on TVs (their sworn rival for 40+ years), breaking bread with Nintendo is no big deal, in fact it's the type of thinking both companies need to embrace in the changing, ever more harsh gaming market.
Microsoft is looking at the state Sony is in right now and having tasted success with Kinect and is licking their chops for the next-generation, knowing they can outspend both Sony and Nintendo to their heart's content.
| Soundwave said: Nintendo, whether they want to admit it or not at some point is going to have to face up and come up with an answer to the rising cell phone/tablet market or watch their handheld stronghold eventually erode away piece by piece. We're getting to the point now where even young kids are going to get very capable smartphones at age 7-9. Microsoft is looking at the state Sony is in right now and having tasted success with Kinect and is licking their chops for the next-generation, knowing they can outspend both Sony and Nintendo to their heart's content. |
I don't see how everyone having a smartphone is any different than everyone having a PC ... The greatest growth in the home console market came at the same time as the greatest growth in the home PC market.
Nintendo doesn't need to produce a phone any more than they needed to produce a PC in the 1990s; what they need to do is continue to focus on asymmetries in the market that allow them to produce better gaming experience than can be provided on a cell phone today. One of their biggest advantages is in user interface design as few cellphone companies will add buttons or analogue sticks simply (or any other user interface elements) to benefit gamers, and few smartphone developers will target user interface elements that are not available in most phones.
Well, I personally would love to be able to play Mario and Uncharted on the same machine - but it ain't gonna happen too soon. Now, if Apple entered the game industry for real with a gaming machine and would soak up 50% of the market share, leaving the Big 3 to fight for the rest - then perhaps a partnership is wise. But that won't happen for at least... 2 years ;)
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Furthermore, I think VGChartz should add a "Like"-button.
They tried it once long ago but Nintendo decided not to go with it... would have left Sony in charge with Nintendo with pretty no say at all.
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