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Forums - Nintendo - One last time before The Wii U launch! Pachter: Wii U A New Console Using Last-Gen Technology

theRepublic on 07 November 2012
Player2 said:
Rafux said:

http://en.wikipedia.org/wiki/Neo_Geo_CD    Read the first paragraph.

Neo Geo CD game prices were low at $50, in contrast to Neo Geo AES game cartridges, which cost as much as $300. The system can also play Audio CDs. All three versions of the system have no region-lock.

http://en.wikipedia.org/wiki/Neo_Geo_(console) Read second paragraph in "History".

"Other games were priced at about $200 (and up). With these "premium" prices, though, most gamers weren't able to afford the system, so the console was only accessible to a niche market."

Everybody knows the Neo Geo cartdriges were expensive, anybody knows cartdriges are expensive.

Of course I know cartridges are expensive.

What I'm saying is that you'll draw a pretty imaginary line (at 150$ for example, we have to make sure that those N64 cartridges that were 110 euros in european countries fit in the desired category). Those consoles with their games below that price can achive the outstanding "real competition" status and can be used in comparisons, while the others can't.

Still a silly argument because price doesn't prevent a Mercedes C-Class to compete with a Saab 9-3 in the compact executive segment (thanks for the car comparison idea, Oprah!).

And the "it wasn't expected to win" argument isn't much better either.

The Neo Geo and SNES were not competing for the same market.  The SNES console cost $200, while that was the price of a single game for the Neo Geo.  That makes Neo Geo games roughly 4 times as expensive as SNES games.



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Player2 on 08 November 2012
Rafux said:

"Other games were priced at about $200 (and up). With these "premium" prices, though, most gamers weren't able to afford the system, so the console was only accessible to a niche market."

So you want a niche console to compete againts mass market consoles like SNES and Genesis.

Is price the only reason why a system cannot be a mass market console?



Viper1 on 08 November 2012
Player2 said:
Rafux said:
 

"Other games were priced at about $200 (and up). With these "premium" prices, though, most gamers weren't able to afford the system, so the console was only accessible to a niche market."

So you want a niche console to compete againts mass market consoles like SNES and Genesis.

Is price the only reason why a system cannot be a mass market console?

It can be a major factor.   It's not the only factor though.

With regards to the Neo Geo though, it was easily the main factor.  Games at retail in the US were all over $200 each.  Some were $350.  For a single game.    A console priced at $600 is one thing.  At least that's a one time expense.   But to pay ~$300 for each game meant an investment on a scale very few people can afford.  That investment automatically puts it outside the mainstream pricing tiers.   Buy 5 SNES games in one year at $60 and it will cost you $300...the price of 1 Neo Geo game (and they weren't all that great either). 



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sales2099 on 08 November 2012

Guys, we know its true. Nintendo uses old tech to be priced competitively.

But compared to Wii, the WiiU is next generation. Wii counted as next gen and so does this.



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Rafux on 08 November 2012
Viper1 said:
Player2 said:
Rafux said:
 

"Other games were priced at about $200 (and up). With these "premium" prices, though, most gamers weren't able to afford the system, so the console was only accessible to a niche market."

So you want a niche console to compete againts mass market consoles like SNES and Genesis.

Is price the only reason why a system cannot be a mass market console?

It can be a major factor.   It's not the only factor though.

With regards to the Neo Geo though, it was easily the main factor.  Games at retail in the US were all over $200 each.  Some were $350.  For a single game.    A console priced at $600 is one thing.  At least that's a one time expense.   But to pay ~$300 for each game meant an investment on a scale very few people can afford.  That investment automatically puts it outside the mainstream pricing tiers.   Buy 5 SNES games in one year at $60 and it will cost you $300...the price of 1 Neo Geo game (and they weren't all that great either). 

This. Being a niche means to take a market that haven't been exploited. Neo Geo wanted to take the high end consumer who wants an arcade experience at home.



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cunger on 08 November 2012
spurgeonryan said:

Industry analyst Michael Pachter is no stranger to statements that have received a bit of backlash on the internet from the gaming community. Still, he is respected by many in the industry itself as one of the go-to people for the state of the video games market. One of his latest statements was made in a Bonus Round centered on Nintendo’s upcoming system, the Wii U.

While discussing Nintendo’s business habits and the upcoming Wii U along with other industry members, Pachter said that Nintendo, “Should not have made a new console on last generation technology.” He further added, that the Wii U’s gamepad and new control scheme is not intuitive or innovated enough to capture the masses like its predecessor the Wii did.

To remedy Nintendo’s “predicament,” Pachter suggested that Nintendo should license its IPs to mobile game developers and put GameBoy and GameBoy Advance games on cell phones where it would reach hundreds of millions of people and possibly create a new target group to sell Nintendo hardware to. However, Pachter said that he thinks Nintendo is angry at the mobile market for what it is doing to their systems and too stubborn to go this route.

To his credit though, Pachter did give positives saying that he believes the system will sell out this holiday season, albeit to hardcore Nintendo fans mainly. He also believes that by 2013, Nintendo will catch up with current systems such as the PlayStation 3 and Xbox 360 where they will all launch games at the same time like Battlefield 4, the next Call of Duty, and Assassin’s Creed.

 

http://gamerxchange.net/2012/11/05/pachter-wii-u-a-new-console-using-last-gen-technology/

The one thing that he never mentions but should is that Nintendo has shorter lifecycles than Sony and Microsoft. Nintendo just needs this system to be viable for 5 or 6 years before their next gen system comes out. Their follow up to the Ps4 and 720 will come out 3 years before the end of their lifecylces and be more powerfull. Sony and Microsoft release future proof system. Systems which may only be 60% maxed out by the time Nintendo's generation is done. They also release system that are more expensive so people tend to hold off longer until buying those system. Nintendo likes to hit the market with now systems. System that are innovative and affordable right now.  It's a different strategy and has worked well for Nintendo.

Furthermore it is Sony which has been heavily effected by mobile. The 3ds is still a very viable platform for Nintendo to release games into. So why would Nintendo be so upset and Sony who is being run out of business not?



se7en7thre3 on 08 November 2012

Pach be trollin'. With mostly customized part, only true way we'll find out how powerful Wii U is, with a big budget title, like Halo 4. Until then, you can't judge.



the2real4mafol on 08 November 2012

Wow, Pachter still has a job after all these years?! i'm surprised he has, since he is a useless analyst. I suppose it's good to bash him. How can wii u have last gen power when it's actually the most powerful console to date? Although, he is right that it won't be as successful as the Wii



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