Nintendo on the timing of NX’s announcement, decision to pursue mobile, reaction
Scott Moffitt, executive VP of sales at Nintendo of America, has once again spoke about the reasoning and timing of NX’s announcement.
Moffitt told Examiner:
“Going back to the reveal, it was important for us to reinforce to our loyal game fans out there that we remain committed to the world of dedicated game platforms. We believe there is magic that occurs when you have a marriage between the hardware, operating system and game content itself. It was important for us to recommit, on behalf of our game fans, to that business. We didn’t want people to think we were migrating away from that core principle, which is we believe in the power of dedicate game platforms and we are going to remain in that business.”
Moffitt went on to talk about Nintendo’s decision to pursue the smart devices as well. He said that this space will be used as an “additive” for the company’s console business.
“We can’t deny the massive install base of smartphones out there, and some fans that aren’t old enough yet to afford their own gaming console, perhaps for those consumers they can start to appreciate some of our content and build a relationship with some of our characters and our franchises. We feel it’s going to be an additive to our console business.”
Pokemon Shuffle Mobile out in Japan this month
Posted on 2 years ago by Brian(@NE_Brian) in Mobile, News | 7 Comments | 0 Likes
The mobile edition of Pokemon Shuffle is releasing in Japan this month, a trailer shown on the territory’s TV programming reveals. A beta was previously held for Android users between June 30 and July 14. Pokemon Shuffle Mobile should be available in the west this year as well.
DeNA: Partnership with Nintendo could “change the market”, Big N has best IPs
Posted on 2 years ago by Brian(@NE_Brian) in Mobile, News | 8 Comments | 0 Likes
DeNA West CEO Shintaro Asako has shared a few more words about the company’s partnership with Nintendo.
“I think this is potentially an opportunity for us to completely change the market. Nintendo has by far the best gaming IP,” Asako told PocketGamer. Asako added that “DeNA’s expertise is definitely backend.”
Nintendo will be handling the bulk of its mobile game development, but DeNA is pitching in on the technical end. DeNA will also be responsible for Nintendo’s new membership service, which opens this fall.
Nintendo’s initial mobile games will be in different genres
Posted on 2 years ago by Brian(@NE_Brian) in Mobile, News | 16 Comments | 0 Likes
We know that Nintendo is working with DeNA on games for mobile. We’ve also known for a few months now that the first game is coming this year, with four additional titles arriving by the end of March 2017.
DeNA West CEO Shintaro Asako has now indicated that the initial games will be in different genres. Asako told Pocket Gamer:
“I understand some people like RPGs, casual games. That’s why we decided to work together to create five games, hitting on different genre-utilizing IPs. We want to make sure out of those five IP that we can end up attracting hundreds of millions of people.”
Asako called its collaboration with Nintendo “the most crucial partnership” in DeNA’s history. He also says that it’s a challenge since “people are expecting a lot”.
Nintendo on its monetization plans for mobile games
Posted on 2 years ago by Brian(@NE_Brian) in Mobile | 12 Comments | 0 Likes
Smart device game applications are drawing attention in the game industry because so many people around the world own smart devices (smartphones and tablets) and because, even though the total number is small, there have been several successful applications that have been hugely profitable after becoming very popular.
On the other hand, the competition among smart device applications has been so fierce that Nintendo cannot succeed just by releasing any software title with its popular characters or the themes in its popular game franchises. Any company that releases a new smart device application must face the challenge of making it stand out among the crowd.
About the shareholder’s question on how to charge for smart device applications, in general, there is one system to ask consumers to make a one-time payment for the application and another system to ask consumers to pay for additional downloadable content. As for the latter, people often call it the “free-to-play” system. However, since Nintendo is a company that wants the value of the games to be appreciated by consumers and wants to keep the games’ value at as high a level as possible, we do not want to use the free-to-play terminology that implies that you can play games free-of-charge. Instead, we use the term “free-to-start,” as this term more aptly describes that at the beginning you can start to play for free. And, the fact of the matter is, game software with a one-time payment system has not been doing a great job on smart devices. Because there are so many competitors making smart device applications, there is fierce competition and the pressure to lower prices. As a result of this competition to discount products, smart device game applications are being sold at far lower prices than the ones for dedicated video game systems. I think some of you would have seen such campaigns as “90 percent discount for smart device applications” in the shops on your smart devices. Because it is a digital product, it does not require transportation fees nor other constant expenses necessary for packaged software, and some may think it is good if it sells (even at a low price point), but once the value of a software title decreases, it can never be increased again. Since Nintendo wants to cherish the value of software, there will be a limit to how low of a price we might want to attach to our game applications for smart devices. The price of our game applications on smart devices will be compared with the prices of other smart device game applications. We believe we should not limit our payment system only to one-time payments, even though this is not something that we can announce as a general principle because different payment systems suit different kinds of software.
If I can add a few more explanations about the free-to-start system, even though you can start playing with the application for free, it later requires you to pay if you want to play beyond the initial area or to pay for items if you want to play the game in a more advantageous position. In extreme examples, some games are designed so that the players will be so excited psychologically as a result of, for example, being able to obtain a very rare item that they do not think twice about pushing the button, which immediately completes the monetary transaction and the player is charged with the bill. We know that some of such games have become a social issue. For your further information, in Japan, among those who are playing free-to-start games on their smart devices, the number of people who are actually spending money is very small. Yet, because this small group of people is paying a large sum of money, with which they could have even purchased several dedicated video game systems, this is one reason this free-to-start model can be very profitable. On the other hand, when we look around the world, the situation is different, and such a charging system has not necessarily been working well. When we look at successful smart device game applications abroad, a number of companies have been asking each of a greater number of consumers to pay less money. Companies may be able to make a very profitable business in Japan by asking a small group of consumers to pay a large amount of money (for their smart device applications), but we do not think that the same approach would be embraced by people around the world. Accordingly, even though we recognize that it is not an easy path to take, as long as Nintendo makes smart device applications, we must make them so that they appeal not just to some limited age group but to a wide age demographic just as our games thus far have been doing, and they should appeal to anyone regardless of their gaming experiences and gender, and most importantly, regardless of different cultures, nationalities and languages. We would like to make several software titles that are considered worldwide hits as soon as possible.
Regarding your question about the target audience, we are trying to make applications that appeal to a wide variety of people so that the games can receive payments widely but shallowly from each consumer. In other words, even if a consumer makes a relatively small payment, because of the large consumer base, the game can generate big revenue. This is the business model we would like to realize. I think the shareholder has just asked these questions partially because he is concerned that Nintendo might shift to the notorious business model that asks a small number of people to pay excessive amounts of money and that Nintendo’s brand image might be hurt. Please understand that Nintendo will make its proposals by taking into consideration what Nintendo really should do with this new challenge.
On a different note, we are not planning to release many game applications from this year (when our first smart device application will be released) to the next. The reason for this is that software for dedicated game systems is considered a “product” that tends to produce the strongest and most fresh impact on the world at the time of its release into the market but its impact can be lost gradually as time goes by. With that analogy, smart device applications have a strong aspect of “service.” Even though the initial number of players tends to be small, those who have played invite others to play too, and as the total number of the players gradually increases, so does the revenue. This, however, means that the release of the game does not mark the end of its development. If the game cannot offer services that evolve even on a daily basis, it cannot entertain consumers over the long term. Accordingly, we would like to spend sufficient time on the service aspect of each title, and we would like to grow each one of our small number of game applications with the objectives that I just mentioned.
Reggie on Nintendo’s E3 showing, hardware, Wii U sales, Skylanders, amiibo, and mobile
Posted on 2 years ago by Brian(@NE_Brian) in 3DS, General Nintendo, Mobile, News, Switch, Wii U | 11 Comments | 0 Likes
A new interview with Reggie Fils-Aime was added to Forbes’ website today. Reggie discussed several topics, including Nintendo’s E3 showing, hardware, Wii U sales, Skylanders, amiibo, and mobile.
Those who are interested in reading up on what Reggie had to say can head past the break for the Q&A breakdown. You’ll find Forbes’ original piece with a few additional comments here as well.
Pokemon Shuffle making the jump to mobile devices
The Pokemon Company announced today that Pokemon Shuffle is coming to mobile devices. Previously, the free-to-play title was launched on the 3DS as an eShop download, which has seen over 4.5 million downloads.
The mobile version of Pokemon Shuffle will be arriving later this year. It seems to be the same exact version as the 3DS edition, but with optimizations for iPhone and Android.
Reggie: Nintendo’s mobile games can offer “a positive experience”, drive people back to core systems
Posted on 2 years ago by Brian(@NE_Brian) in General Nintendo, Mobile, News | 7 Comments | 0 Likes
Back in 2010, Nintendo of America president Reggie Fils-Aime made some comments about mobile gaming in which he told Polygon that, on these devices, people don’t seem to stick to a single title.
Here’s what he said at the time:
“Clearly, it doesn’t look like their platform is a viable profit platform for game development because so many of the games are free versus paid downloads. If our games represent a range between snacks of entertainment and full meals depending on the type of game, (Apple’s) aren’t even a mouthful, in terms of the gaming experience you get.”
Polygon spoke with Reggie at E3 2015 last week and said that Nintendo hasn’t changed its opinion on the nature of gaming on smart devices. He also believes that mobile gaming can offer “a positive experience” while driving people back to the Big N’s core systems.
“We’re going to do it in a partnership with DeNA. DeNA has technical knowledge that we’re leveraging. They have a rapid iteration process to drive improvement in the content that we’re going to leverage, but Nintendo is going to create the content. We’ve announced that Mr. Kono, from Mario Kart fame, is going to be our lead developer on this. And so from that standpoint things haven’t changed. It’s our IP, we’re going to leverage it and we do believe done properly it’s going to drive a positive experience with the IP and drive people back to our core video system business whether it’s handheld or console.”
Iwata again says that the Nintendo Digital Event will cover titles through early 2016, no NX, QOL, or smart device games
Posted on 2 years ago by Brian(@NE_Brian) in 3DS, General Nintendo, Mobile, News, Switch, Wii U | 13 Comments | 0 Likes
Update: Bumped to the top. Fully translated tweets:
[Iwata] Originally, the Media Briefings (press conferences) were attended not only by reporters but also by security analysts, distributors and game industry staff—but now that Internet broadcasting is commonplace, many videogame fans can now watch them, too.
[Iwata] On the other hand, the information sought by reporters present at the press conferences can vary greatly depending on their viewpoints. As a result, every year saw the difficulty of pleasing everyone increase. That’s when we settled for a new format to convey information. With the Nintendo Direct format, our E3 has greatly evolved in the last 2-3 years.
[Iwata] This is the back story as to how the Media Briefing changed into the Nintendo Digital Event. During the Digital Event broadcast, we also have distributors gather and open a conference specially dedicated to them.
[Iwata] During our financial results briefing on May 8th, we talked about how we won’t announce anything about the new NX hardware until next year, and how we don’t have plans to showcase our QoL (Quality of Life) business or smart device announcements at E3, which we at Nintendo consider a trade fair for console games. However, perhaps these statements may not reached out as far as we had hoped.
[Iwata] For this year’s Nintendo Digital Event, we will use the occasion to showcase Wii U and 3DS software that is expected to release this year and early next year. It will be voiced in English with Japanese subtitles. This year, I’d like to join you all in Japan to watch the broadcast together. (Note: The second half of that tweet obviously pertains only to Japan.)
Nintendo president Satoru Iwata has reconfirmed what fans should and shouldn’t expect from the Digital Event today. You know, just in case you needed a reminder.
Once again, Nintendo will be focusing on games launching through early 2016. This applies to both Wii U and 3DS.
As mentioned previously, there will be no talk about Nintendo’s next system known as the “NX”. There also won’t be any news about the Big N’s Quality of Life initiative or smart device games.
That’s it! Iwata will be watching along from Japan as the Nintendo Digital Event airs. He’ll probably be tweeting throughout the day as well.
Iwata on challenges with smart device games, benefits, Nintendo’s IP strategy
Posted on 2 years ago by Brian(@NE_Brian) in General Nintendo, Mobile, News | 3 Comments | 0 Likes
Satoru Iwata closed out the Q&A portion of Nintendo’s latest financial results briefing by further discussing the company’s smart device software strategy. Iwata was asked about how often titles will be released, and how long service will be obtained.
Here’s the full question from one of the investors:
In my mind, I already have a clear-cut image as to what will happen in a year or two from today, but I hope to be able to correctly understand your mid-term smart device software strategy. Although you emphasize that the aspect of “service” is stronger with smart device games (as they, unlike packaged software for dedicated game systems, require constant content updates after release), we often see that some of them have shown temporarily good results immediately after their releases by climbing to the top of the download chart. On the other hand, as I hear what Mr. Iwata has said so far, I feel as if the company is willing to increase the relevant revenue gradually over a long time. Does your strategy involve constantly releasing three or four titles every year or will you limit the total number of titles to be released to around at least five at the start and maintain the service operations for such limited number of software for five or even 10 years in order to steadily increase the revenue?
Iwata’s complete response – covering Nintendo’s smart device plans and related benefits, plus IP strategy – is posted below.