Motion Sensing Year 2(3) Q2 – Markets Reaction
I deem it fair to place Nintendo first only because they are the most successful so far as this topic applies itself in the real world.
Innovators Side – In 2005 Nintendo showed a little white box that did absolutely nothing different – Iwata got off his chariot and like a man with intention stomped his way to the podium gave a lecture on Nintendo’s reanalyzed philosophy. Consumers were confused, Analysts thought the white box was a white flag, and the competition felt secure in their decisions. By 2006 at E3 Shigeru stated again Nintendo’s philosophy and also showed the little white box, this time with a T.V. remote next to it and a nunchaku next to that. The crowd; filled with journalists and consumers and analysts alike lined up in droves to see Nintendo’s offering while Sony was left wondering if that would ‘eat their lunch.’
By 2007 the market responded in the loudest way possible, by using money and created such a demand for the Wii no one could tell if it was as high in demand as the PS2 as Nintendo wasn’t producing enough. Scalpers would sell the Wii at $450 ($200 mark up.) by itself at rapid rates; the market had made its decision. Several increases in production later Nintendo has found normalcy in most of the World, though America(s) have yet to see such normalcy. As they did with the Handheld generation Nintendo single handedly created a new Generation of gaming for consoles – shifting from core gaming generation that focused on the core market to a full body motion generation which has a focus on a market that’s yet to be recognized. (Though some say it has been recognized.)
Now in 2008 the competitors of the Wii have released tidbits of viral information (“The worst kept secret.”) accrediting their brand to a motion-sensing device (outside of the sixaxis) that follows partly Nintendo’s 2005 philosophy of gaming, if they did fully grasped it is yet to be seen. But that is the philosophy of Nintendo, although it is the succeeding strategy; it doesn’t have to be what its competitors follow.
Competitors Side - Sony coming off an impressive platform run as if prompted by Microsoft’s initiative to dominate the market decided to release their own new platform, the ideology wasn’t to supply the market with a product that was ‘at’ demand, but to compete with Microsoft and destroy them, since it’s inception the Play Station brand’s sole intent was splitting Microsoft’s revenue, by doing this Sony would become the most wealthy electronics company to ever exist and be able to boast 0 profitability decisions that only large governments could enjoy.
Microsoft’s intent is to enter the Market Sony intends to use as a gateway to their own market, by making this blockade of sorts, the idea isn’t to turn a profit (0 profitability decision) but to stop Sony from making a profit. (Which they succeeded at doing.)
At E3 2005 they announced the key aspects of the Xbox360, they showed the horsepower of their system and called for Hype by announcing a PC developer gone Console developer in Epic’s Gears of War. (Such a cool name.) Sony unveiled their new console, which faced more than enough internet shoot down, by Microsoft viral marketers generating FUD about the systems Blu-Ray being too expensive and a few other catch lines.
By E3 2006 The year has drawn to this moment, the moment of the Ps3 – true next generation, however asymmetry processing didn’t over shadow the visual ‘fun’ that Nintendo’s true philosophy had to offer. Playing it safe the system had unveiled its first weapon that would pierce the heart of its competitors without them Co-opting Nintendo before they had even begun to be successful.
By E3 2007 a market leader is found in Microsoft, but it wasn’t selling like a Market leader, and to the surprise of many neither was Sony’s Ps3 but Nintendo’s Wii sold in a weekly trend that exceeded all past Market Leaders; from 3:1 to 1.5:1 from region to region within certain weeks. However eyes shifted to attacking the software, then to attacking the user base it; these attacks came directly from Microsoft or Sony, execs, PR, developers and even HD console publishers. (Oh and viral marketers.) Sony unleashes Home, Microsoft unleashes Halo3 and Nintendo unleashes Mario Galaxy. The results in 2008 were the 2nd Christmas where there were not enough Wii’s for everyone who wanted one and Halo3 breaking records in sales.
Through out 2007 both companies had to issue price cuts to the point where they were artificially inflating the market with their product; which as far as technology goes was worth much more than the value the market had placed on it.
Microsoft is no longer the Market leader and Sony is quick in advancing, the result is what would have been the beginning should Nintendo have unveiled the Wiimote in 2005 – HDGC Co-Opt. But what effect would this have on the Market – would this mix of bleeding-edge and innovative technology lead to sustaining the ideals of Sony or Microsoft – or do they adopt the Nintendo ideal even so is this too little too late, or are they one step behind Nintendo (I blame Wiifit)? Will they begin to split the market with Nintendo as Sony did with the PSP to DS (As they are currently doing with the consoles) or will they actually begin to hurt the sales on the Wii while boasting their own?
/tldr: Italicized
Also Note: That by visual fun, I mean the fun factor of watching someone else playing a game and wanting to either watch or play yourself.
What will be the markets reaction.
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