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Forums - Nintendo - Nintendo lowers forecast from 55 billion yen profit to 25 billion yen loss

So it's the worst selling Nintendo console since the Virtual Boy. I don't get why people say Nintendo needs to focus on the core gamers, though - it's the "hardcore" games that flopped: Pikmin 3, Mario 3D World, Wind Waker HD... about the only games that didn't bomb were Wii Party U and Mario Bros. U which is still selling at an insane attach rate so people are actually buying a console to get to that game. The mass market games keep the console somewhat alive, the core games almost killed it.

Life cycles for 3DS and Wii U will be shorter than expected: Next handheld in late 2015, next home console in late 2016. The 3DS peaked already, therefore handheld division profits will be down in 2014 and the home console business is bleeding money right now and will continue to do so in the future. It's impossible to operate profitably that way. They'll need to put new products out there as soon as possible.

What really drags Nintendo down is not the smartphones or tablet or direct competition but their inability to produce hit software. Nintendoland was a bad game, Mario Bros. U was literally the same all over again, 3D World was a step down from Galaxy, Wind Waker was one of the worst selling Zelda titles and yet they made a remake, Wii Fit U's Fit Meter is totally useless in this day and age. At its core this is a problem of software quality. Unfortunately people on gaming message forums don't realize this because their tastes differ from everyone else's.



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I was not expecting their results would be this terrible (in fact, I thought they would make an operating income this year). As much as I like Iwata, I believe shareholders will not be very forgiving this time around; though I certianly hope that their next CEO would not cut Nintendo's hardware department. These losses are massive and they wholly contradict their entire projections for the year.

I believe that for next-generation Nintendo should focus only on a single platform. Today we are seeing portable chipsets that are capable of outputting decent graphics on televisions. These chips will allow Nintendo to create both a handheld device (I should mention a smart handheld with multitasking capabilities that is inexpensive) and an inexpensive home console for multiplayer and social living room purposes (akin PS Vita and PS Vita TV). Furthermore, doing this will allow Nintendo to much more effectively utilize its limited resources and they will be able to push newer experiences because their departments do not have to worry about having to develop for two separate platforms at the same time.



DD_Bwest said:
750million... thats alot of money.

how much did they have in the bank? lol


about 15 billion



Terrible.Wii U wiping out profits and the 3DS declining when it should be pulling out all the stops.

This year will be quite interesting, what changes are in store?



sonicfan1373 said:
I was not expecting their results would be this terrible (in fact, I thought they would make an operating income this year). As much as I like Iwata, I believe shareholders will not be very forgiving this time around; though I certianly hope that their next CEO would cut Nintendo's hardware department. These losses are massive and they wholly contradict their entire projections for the year.

I believe that for next-generation Nintendo should focus only on a single platform. Today we are seeing portable chipsets that are capable of outputting decent graphics on televisions. These chips will allow Nintendo to create both a handheld device (I should mention a smart handheld with multitasking capabilities that is inexpensive) and an inexpensive home console for multiplayer and social living room purposes (akin PS Vita and PS Vita TV). Furthermore, doing this will allow Nintendo to much more effectively utilize its limited resources and they will be able to push more newer experiences because their departments do not have to worry about having to develop for two separate platforms at the same time.

Nintendo already merged their console and handconsole R&D, so it looks what you propose might already in development.

Ironically because of iwata.



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UncleScrooge said:
So it's the worst selling Nintendo console since the Virtual Boy. I don't get why people say Nintendo needs to focus on the core gamers, though - it's the "hardcore" games that flopped: Pikmin 3, Mario 3D World, Wind Waker HD... about the only games that didn't bomb were Wii Party U and Mario Bros. U which is still selling at an insane attach rate so people are actually buying a console to get to that game. The mass market games keep the console somewhat alive, the core games almost killed it.

Life cycles for 3DS and Wii U will be shorter than expected: Next handheld in late 2015, next home console in late 2016. The 3DS peaked already, therefore handheld division profits will be down in 2014 and the home console business is bleeding money right now and will continue to do so in the future. It's impossible to operate profitably that way. They'll need to put new products out there as soon as possible.

What really drags Nintendo down is not the smartphones or tablet or direct competition but their inability to produce hit software. Nintendoland was a bad game, Mario Bros. U was literally the same all over again, 3D World was a step down from Galaxy, Wind Waker was one of the worst selling Zelda titles and yet they made a remake, Wii Fit U's Fit Meter is totally useless in this day and age. At its core this is a problem of software quality. Unfortunately people on gaming message forums don't realize this because their tastes differ from everyone else's.

Actually Wii Party is doing pretty poor in America/Europe, Japan is the only place its doing well and its bundled with every console there. Same goes for Mario U, it was heavily bundled in every region over the holidays. Software is poor all around for Wii U



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On the plus side, they do say that desperate Nintendo is best Nintendo >



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If none of us knew anything about the sales or business side of Nintendo, I wonder how many of us would still want Iwata to go.

Maybe I'm one of the few who focuses on the games I'm playing and the consoles I'm playing them on and likes the way Nintendo is run. I'd like them to find a way to be profitable and successful without dramatically changing the content they're providing for my enjoyment.



Soundwave said:

Even with the N64, I've always felt its sales may have been a little inflated.

A lot of people just assumed N64 was going to be SNES-2 ... you have to understand as incredible as it seems now back then Nintendo = the most games from every developer. Nintendo was the console to get if you wanted third party games.

People early on didn't understand the N64 with its cartridges wasn't going to recieve the same types of support the NES and SNES was, so you had a lot of N64 early adopters jumping ship to the Playstation in the following years, I had a lot of friends in that boat. Those droughts were a rude awakening.  

They kept the N64 around for GoldenEye marathon sessions and Zelda, but from then on, Playstation became the most go to console.

In the 80s and 90s Nintendo wasn't just the Mario machine, Nintendo consoles = the widest variety of games of all genres. That's what Nintendo was synonmous for, no kid wanted to be the kid that got stuck with a Sega Master System with only a handful of good games by comparision. 

The funny thing is even with the lack of support the N64 had compared to PS1, personally I felt that the N64 had the better titles over all where as PS1 allowed way too much shovelware which hasn't aged well.



 

 

Soundwave said:

From NeoGaf, but it kinda hammers it home:

Iwata says Wii will avoid major droughts that plagued GameCube. (March 2007)

Iwata promises that 3DS will avoid major droughts that plagued Wii and DS.

Iwata promises that Wii U will avoid major droughts that plagued 3DS and Wii.

Iwata apologizes for Wii U drought in January and February.


With every freaking hardware launch Iwata also gives the same "this time we're going to focus on getting third party support" speech too. 

It's maddening really. 


The thing is every time he makes those promises he must think he has 3rd party onboard.

Look at EA they were holding hands at E3 with Nintendo on stage, I think he truly believed things were gonna happen lol.

I think next gen they need to listen to your activisions and ubisofts who have seemed to continue support on Nintendo systems even with the poor sales. Then approach a few of the over developers with high selling games like Rockstar, I guess Bungie now that they doing multiplats and bukld a system that meets their needs. If it meets their needs EA may follow lol.

But then again who knows what next gen will bring in general. I really hope we have at least one more hardware console gen. Before streaming becomes the norm to smart tvs lol.