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Forums - Nintendo - Nintendo's revenue will decrease if it goes third party.

Can anyone find out the revenue and employees of Microsoft Game Studios and Sony Computer Entertainment?



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I can't see Nintendo surviving on mobile. (They'll hang on to paid apps.)
I can't see Nintendo surviving on PC. (They'll refuse to drop their prices considerably.)
I can't see Nintendo surviving on consoles. (Look at how long they've taken to develop titles for the Wii U.)

Besides, do you really expect someone who's been crying for Nintendo to go third-party to actually buy their games?



 
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They'd also lose a considerable amount of platform royalty too



I predict NX launches in 2017 - not 2016

2Ultra said:
Are you sure about this? Mario on multiple platforms as well as full blown Pokemon RPG could be huge. I'd LOVE to see the power of Metroid Prime on PS4 or Xbox One too!! Fire Emblem, too! I'm sure I've missed a few titles, but Nintendo has good stuff though I'm not digging their consoles since the Wii U...

TBH I would rather want  Metroid to be on hardware without limited power (on PC that is). But then Nintendo at least offers something special the other 2 tho just offer "bad (not WiiU but still bad)hardware" Just think about how Uncharted4 Halo5 etc. could look on a 2015 PC. drool. The games would be 20 bucks cheaper on day1 and would be $10 bucks on steam 1 year later! Would also have mod support etc.

And why would Nintendo games sell on other hardware? According to alot if the owners of said hardware the games are crap overrated and for little kids.(throwing stones in a glashouse rofl) You are in the minority (you like the games but not the hardware)
 just look at how the quite powerful Gamecube sold....  it was in no way bad hardware.

If one has a kid that wants a WiiU and one is not buying it even tho one can afford it then one is PROBABLY not the brightest light anyways  (not buying a kid something the kid wants and what one can afford just to NOT support Nintendo? rofl. And if Nintendo would go third party one would not buy the games anyway because one doesn't want to support Nintendo)

Only people that cannot afford a Nintendo console but for whatever reason were able to afford a PS4 or XBO and think what they want is more important than what the kid wants(otherwise they would not have bought their console of choice but the kids console of choice) would buy Nintendo third party games or well not even they would since they didnt give a f* about their kids wishes before so why buy the games now?

Or people are double standard having biased hypocrites that then go  "oh I was just hating on Nintendo because everyone did and I needed to feel cool! but now I can buy their games"

The group of people not owning Nintendo hardware and still loving Nintendo games (the way the games are today NOT the SNES nostalgia versions) is pretty small. The rest would probably dont give a F* about the games.

Most people that want Nintendo to go third party want them to vanish. Its like the trolls  that act as if they are fans and mail developers and complain so stuff gets changed etc. they want the games to get worse. Yes those exist. They want a series etc. to fail so they act as if they are fans.



2Ultra said:
Are you sure about this? Mario on multiple platforms as well as full blown Pokemon RPG could be huge. I'd LOVE to see the power of Metroid Prime on PS4 or Xbox One too!! Fire Emblem, too! I'm sure I've missed a few titles, but Nintendo has good stuff though I'm not digging their consoles since the Wii U...

TBH I would rather want  Metroid to be on hardware without limited power (on PC that is). But then Nintendo at least offers something special the other 2 tho just offer "bad (not WiiU but still bad)hardware" Just think about how Uncharted4 Halo5 etc. could look on a 2015 PC. drool. The games would be 20 bucks cheaper on day1 and would be $10 bucks on steam 1 year later! Would also have mod support etc.

And why would Nintendo games sell on other hardware? According to alot if the owners of said hardware the games are crap overrated and for little kids.(throwing stones in a glashouse rofl) You are in the minority (you like the games but not the hardware)
 just look at how the quite powerful Gamecube sold....  it was in no way bad hardware.

If one has a kid that wants a WiiU and one is not buying it even tho one can afford it then one is PROBABLY not the brightest light anyways  (not buying a kid something the kid wants and what one can afford just to NOT support Nintendo? rofl. And if Nintendo would go third party one would not buy the games anyway because one doesn't want to support Nintendo)

Only people that cannot afford a Nintendo console but for whatever reason were able to afford a PS4 or XBO and think what they want is more important than what the kid wants(otherwise they would not have bought their console of choice but the kids console of choice) would buy Nintendo third party games or well not even they would since they didnt give a f* about their kids wishes before so why buy the games now?

Or people are double standard having biased hypocrites that then go  "oh I was just hating on Nintendo because everyone did and I needed to feel cool! but now I can buy their games"

The group of people not owning Nintendo hardware and still loving Nintendo games (the way the games are today NOT the SNES nostalgia versions) is pretty small. The rest would probably dont give a F* about the games.

Most people that want Nintendo to go third party want them to vanish. Its like the trolls  that act as if they are fans and mail developers and complain so stuff gets changed etc. they want the games to get worse. Yes those exist. They want a series etc. to fail so they act as if they are fans.

TBH before Nintendo should go third party everyone else should because Nintendo at least offers a different experience. The others just have the same stuff that was around for the last 30 years and that can easily be done with a computer.



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But EA's and Acti target audience and especially their games are drastically different from Nintendo's. You can't possibly use them as an example.

Making people interested in Nintendo games (again) is the only way for Nintendo to rise to the top. And that will only happen when they go third party. Right now, all the profits and revenue made is from dedicated Nintendo fans only (that ones that actually buy the hardware),and those will not be around forever.



huiii said:

Wow.... you're not serious are you? 

Revenue =/= Profit

Profit = revenue - expenses

So if Ninty drop the console buissnes they make less revenue but also have less expenses (and considering the wiiu is or was sold at a loss the drop in expenses would be bigger than the revenue loss so profits would grow (or at least the retability would)).

 

i say this in every thread about finances and stuff but people need to get a clue about accounting before they go posting stupid stuff.


I am talking about profits, so don't make baseless assumptions. You should go look at their last 20-30 years of financials if you don't think that their hardware is a massive part of their profit margins as well as a synergistic machine for their software profits on which they earn 80% of the proceeds or, if digital, 100%. If they go third party all of that literally goes out the window.

Money lost on R&D is next to negligible over all. The rest of the money spent still has to be spent whether they are first or third party, and now they have even more expenses including having to pay licensing fees and tool kit fees which will eat up another 5-7$ a pop on each sale. Suddenly their profits per sale on software goes from 80-100% to 20-40%, if that.



Vena said:
huiii said:

Wow.... you're not serious are you? 

Revenue =/= Profit

Profit = revenue - expenses

So if Ninty drop the console buissnes they make less revenue but also have less expenses (and considering the wiiu is or was sold at a loss the drop in expenses would be bigger than the revenue loss so profits would grow (or at least the retability would)).

 

i say this in every thread about finances and stuff but people need to get a clue about accounting before they go posting stupid stuff.


I am talking about profits, so don't make baseless assumptions. You should go look at their last 20-30 years of financials if you don't think that their hardware is a massive part of their profit margins as well as a synergistic machine for their software profits on which they earn 80% of the proceeds or, if digital, 100%. If they go third party all of that literally goes out the window.

Money lost on R&D is next to negligible over all. The rest of the money spent still has to be spent whether they are first or third party, and now they have even more expenses including having to pay licensing fees and tool kit fees which will eat up another 5-7$ a pop on each sale. Suddenly their profits per sale on software goes from 80-100% to 20-40%, if that.

"They'd likely need to see a several hundreds of percents increase in software sales over their Wii software sales to see profit. At all."

Is what you said. And while i admit that i didn't think of platform royalties (which make~10% of a 60$ game) if they really need a "several hundreds of percents increase in software sales over their Wii sales to to see profit" then they are doing something wrong. After all every other publisher can make a decent profit without even haveing a fraction of nintendos wiiu software sales. So yes i call bs on that post.

And instead of looking at the financials of 30 years ago you should maby look at the more recent ones. Sure Nintendo made a lot of money on hardware in the past (and probably still does form the 3ds) but this doesn't change that they are reporting losses now. 

Plus what i said in the post you quoted still stands. Just add the royalties and such into the equation (which i did overlook). But just subtracting hardware revenue and saying porfits will be less by that (which is what a lot of people in this thread seem to be doing and i thought you meant as well, if you didn't then sorry) is just all kinds of wrong.

 




Their profits will soar though and that's more important to shareholders.



Revenue =/= profit