Nintendo, have been struggling with less-than-stellar financial results for some time now, and to climb their way back up to the profit ladder, they look forward to expanding their digital business. A NicoNico News report gives us a closer look at their plans.

One of the biggest reasons smartphone games have found success in the market is largely due to their social networks that allow friends, acquaintances, and strangers to interact and share information. Those same functions are available through the Wii U’s Miiverse network service. Miiverse is one part of Nintendo’s plans.

Upon turning on the Wii U, you’ll immediately see the “Wara Wara Plaza,” where plenty of Miis gather to share information and show off the latest games they’ve been playing. This is an example of one of Nintendo’s way of following a similar structure of social networking features found in smartphone games.

 In addition to the Miiverse, Nintendo is currently working to further expand their “digital business,” as quoted by president Satoru Iwata.

 “It is crucial for expanding profitable opportunities,” Iwata says, and reiterates that Nintendo plans on strengthening download sales of the company’s software. While it may sound like a simple idea of just having the same product of the packaged version in a downloadable format, it creates exposure to other products found on the Nintendo eShop. In fact, there’s already data to suggest that people who’ve downloaded a title are very likely to download again, and NicoNico News’ report reiterates this as well.

Furthermore, Nintendo’s popular life simulation game, Animal Crossing: New Leaf, boasts a quarter of its total sales from downloads after half a year since its release, which shows that the way games are being purchased has in fact changed.

Nintendo also provided some other interesting information. For starters, currently, the Wii U’s Internet connectivity rate stands at 80%. For the Nintendo 3DS, Japan has an 87% connectivity rate, and the US sits at 83%.

By the end of this year, Nintendo will be adding a new system that allows players to manage their Nintendo Network accounts through smartphones and PC, where they’ll also be able to make their purchases. This is a part of Nintendo’s plans to further enforce their downloadable sales, while showing players what else there is in store for them.

http://www.siliconera.com/2013/07/30/nintendo-digital-purchases-through-pc-and-phones-coming-this-year/

...I must say that the connectivity rate is quite impressive. And it's nice to see Nintendo integrate their network system into popular means to access networks () such as PC's and smartphones.

I'm totally fine with the expansion from Nintendo hardware into more of a "Nintendo Network store"

Gaming is going to become more service like anyways. Might not happen next gen or even next next gen, but it's coming.

I keep seeing emulators out in the open too, and most of those people pirate them not because they haven't played them, but they already have and are replaying them.

These people will gladly pay for a service like VC on phones, PCs. As long as they leave the purchases on hardware I don't see why not.

Eh... I must say that I am not one of those people. If I own it (and sometimes if I don't, in cases like Bahamut Lagoon, which never got an English translation), I'll always prefer an emulator to repurchasing a still emulated game on some kinda original hardware. For home use, I use my Wii and PC, for portable, I use a PSP.

However, smartphones and PC's will make VC more popular and accessible, so I agree with you on that part.

I like the sounds of that. Integrating phones and the Internet is certainly the way forward, and it's nice to see that Nintendo are now starting to embrace the Internet age.

I must say, I am surprised with those connectivity figures. That's damn good.

Who knows, maybe Nintendo partially opening their ecosystem isn't as unlikely of an idea as it was considered before. Most ideas trolls spouted were bullshit, but I'd totally dig Virtual Console (only VC!) on Android and iOS. People play SNES and GBA games on these systems anyways, Nintendo might as well grab some cash and be fine with it. As long as the games are not cheaper than on the 3DS VC I don't think it would devaluate anything.

those rates certainly aren't bad but a 13% and 17% unconnected rate in two of the markets with the best internet availbility in the world and among an consumer based made up of early adopters paints a pretty good picture as to why an "always connected xbone" was a bad idea.

But hey,

Pretty much everyone knew it's intended to be always connected. People who would get it without knowledge would be few, I'm sure.

Also, the internet attachment rate for Ninty products doesn't necessarily reflect "can connect".  At its price, it much more reflects "need to connect" (not entirely, of course). In fact, not everyone needs to have their console connected. Not everyone needs the eshop or VC, or multiplayer. I know I play online on my PS3 once in every blue moon - and only use PSN for demos (though I have a few PS1 classics lined up to buy - physically, they are just extremely expensive.

The (internet) problems with the X1 were that 1) you don't have the option, which cuts their available market and 2) people don't want to be always connected.

This is great, but I'm still waiting for them to actually start working with the 3ds version of Nintendo Network a bit more. We haven't gotten neither Miiverse or a proper account system yet.

All in the hands of firmware updates, luckily.
When they figure out that it's required, of course. When you're as dominant as the 3DS, it takes longer.