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Forums - Nintendo Discussion - Nintendo Only Gets About 10% Of Money Spent on Pokemon GO

Generating millions of dollars of revenue each day, the game is nothing short of a cash cow. Unfortunately, according to Macquarie Capital Securities Analyst David Gibson, Nintendo likely only sees about 10% of the money spent directly.

“We presume that out of every 100 units earned at the App Store, 30 would go to Apple, 30 to [software developer] Niantic, 30 to Pokemon and 10 to Nintendo,” writes Gibson. “Hence, we don’t think Nintendo will earn much directly from the game. However, Nintendo will earn income from its equity-accounted income of owning 33 percent of Pokemon Company.”

Pokemon Company is actually a separate company not owned by Nintendo. Nintendo does own a large share of the company, however – about a third in total. So, they will see some of the Pokemon company’s profits.

http://nintendoenthusiast.com/news/analyst-nintendo-only-gets-about-10-of-money-spent-on-pokemon-go/



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Still good money.


Annoying how the apple store gets 30 percent. Not like they do anything special by putting the game in the store.



 

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12/22/2016- Made a bet with Ganoncrotch that the first 6 months of 2017 will be worse than 2016. A poll will be made to determine the winner. Loser has to take a picture of them imitating their profile picture.

They're also invested in Niantic so they will be receiving some dividends from them as well. Really the real benefit of Go will be the stock value increase that happened. They may get pocket change from this, but they gained 7 billion in market value.



hershel_layton said:
Still good money.


Annoying how the apple store gets 30 percent. Not like they do anything special by putting the game in the store.

Are you serious? lol. I'd say exposing and/or creating a place to SELL THE GAME is pretty "special". Without a store to sell your goods, you make no money. 



That's still a decent chunk of money. And Apple Store shouldn't get that much of the cut. More than 25% is overkill.



bet: lost

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Makes sense. Nintendo didn't develop the game. Not to mention Nintendo invested in Niantic so they'll get dividens as bunchanumbers pointed out. What ultimately matters also like bunchanumbers said is the increase in market cap now at 10 Billion and the 35% jump in stock price from the US and New Zealand releases alone. This game is still gonna make Nintendo richer.



Hm, for some reason I thought they owned 51% of PokeCo.



Yet they had the biggest one day increase in stock since 1983 because this makes the whole market optimistic about future Nintendo ips on mobile. The company is now worth 7 billion dollars more than a week ago.

Counting the inversions on Niantic and Pokemon company they are probably getting around 25%, wich is huge coming from a game that could be generating 1.6m $ daily in US



pokoko said:
Hm, for some reason I thought they owned 51% of PokeCo.

I'm shocked they only own one third. Don't see why they didn't buy the entire company.



 

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12/22/2016- Made a bet with Ganoncrotch that the first 6 months of 2017 will be worse than 2016. A poll will be made to determine the winner. Loser has to take a picture of them imitating their profile picture.

AlfredoTurkey said:
hershel_layton said:
Still good money.


Annoying how the apple store gets 30 percent. Not like they do anything special by putting the game in the store.

Are you serious? lol. I'd say exposing and/or creating a place to SELL THE GAME is pretty "special". Without a store to sell your goods, you make no money. 

Doesn't mean they should get over 20 percent. Anything above is overkill and just asking for too much



 

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12/22/2016- Made a bet with Ganoncrotch that the first 6 months of 2017 will be worse than 2016. A poll will be made to determine the winner. Loser has to take a picture of them imitating their profile picture.