Never before has a portable system achieved the same kind of Internet-connection rate success as the 3DS. According to Satoru Iwata, over 80 percent of system owners in Japan and the US have ventured online. At one point in 2012, the rate was only hovering at around 60 percent.
The 3DS is also seeing success when it comes to StreetPass – well, in Japan and Europe. Gamers in Japan continue to use the social element, and Iwata says that it has started “gradually become popular in the metropolitan areas of European countries.” In order to increase StreetPass’ appeal, Nintendo will introduce new features this year.
Western third-party support of handheld development has dropped off, according to Nintendo president Satoru Iwata. Studios aren’t making as many portable titles as compared to the time of the DS.
That being said, Japanese companies are more involved than ever with 3DS game-making. Nintendo plans “to more actively support the Japanese software developers in distributing their key titles overseas this year.” Iwata specifically pointed to Professor Layton as a series that Nintendo has published in the west and said the that company will “increase the number of such games for the U.S. market as well as in Europe.”
Finally, Iwata expressed openness in working with third-party developers in releasing their games overseas. Maybe they’ll give Square Enix a kick in the butt when it comes to Bravely Default?
Recently, third-party software developers overseas have been inclined to focus on mega-hit titles for home consoles and have had less of their development studios develop software for handheld devices. Some developers, which make game content suitable for children, work on titles for Nintendo 3DS, but they are not as active as the time of Nintendo DS.
On the other hand, as the handheld devices occupy a large share of the video game market and software for handheld devices is important in the video game business in Japan, Japanese software developers are eagerly assigning their top teams to develop key titles for Nintendo 3DS.
We therefore plan to more actively support the Japanese software developers in distributing their key titles overseas this year.
Among those third-party titles both developed and published in Japan, there have been some games which Nintendo published in Europe, including the Professor Layton series. We will increase the number of such games for the U.S. market as well as in Europe. We are also willing to flexibly assist third-party developers in distributing their valuable games overseas.
Nintendo is hoping to increase the momentum of 3DS in overseas territories. In order to do so, it will release significant titles this year including Pokemon X/Y and Animal Crossing: New Leaf.
While speaking with investors during Nintendo’s latest financial results briefing, CEO Satoru Iwata mentioned that it “will be a good harvest time of what we have developed for these two years.” The Big N plans to “intensively and actively sell approximately 10 key titles on our own in order to change the Nintendo 3DS system from a handheld device just to play the Mario series to the one to enjoy a variety of games.”
It would be safe to say that 3DS sales have stabilized in Japan. In fact, Japan is where the portable is seeing its best performance these days.
Nintendo president Satoru Iwata told investors today that the overseas market has become a “challenge” for the 3DS. Iwata believes the company must “think about the method and its possibility of making what we have done in Japan happen there.”
Iwata said:
The challenge for Nintendo 3DS exists in the overseas market, not the Japanese market. We need to think about the method and its possibility of making what we have done in Japan happen there.
Thinking back to the Nintendo DS system, it did not gain momentum in the overseas markets until its sales pace in Japan had accelerated. However, since now is a time when smart devices are widespread and overseas video game developers are less interested in developing software for handheld platforms, some may doubt if Nintendo can actually make it.
Before we released “Animal Crossing: New Leaf” in Japan last year, some said that, amid the expanding popularity of smart devices, few adult female consumers would play games on a dedicated gaming device as they did with Nintendo DS. With the big sales of this game, however, we think that it was proven that an indispensable, original title could overcome the popularity of smart devices and deflation of the value of software.
Although the Wii U may be struggling in certain sales areas, Nintendo has no place to initiate a price cut.
A summary of Satoru Iwata’s financial results briefing has gone live, and it contains direct commentary from the president concerning the Big N’s stance on a possible reduction. Iwata noted that Nintendo has “taken a rather resolute stance in pricing it below its manufacturing cost, so we are not planning to perform a markdown.”
Nintendo will be looking to execute a couple of aspects going forward: 1) communicate the value of Wii U and 2) enhance the console’s software lineup.
After releasing Prince of Persia: The Forgotten Sands in 2010, Ubisoft Montreal began work on a new entry in the series. The project, which would have landed on the PlayStation 3, Xbox 360, and perhaps a Nintendo platform given the franchise’s past – was canned one year later.
Christophe Prélot, a senior level artist at Ubisoft, lists the shelved Prince of Persia as being “FPP”. That means the game was in a first playable publishable stage – it may have been nothing more than CG before being scrapped.
Ubisoft stated earlier this week the Prince of Persia series has been “paused”. The series may not resurface for quite some time, but Ubisoft Montreal CEO Yannis Mallat nonetheless said the IP is “as important as any other franchise” for the company.
Satoru Iwata is currently hosting an investors briefing for Nintendo’s latest financial results. As usual, analyst David Gibson has been live-tweeting from the event.
Read on below for a summary of items discussed during the meeting:
– Iwata says he feels great responsibility for not achieving forecast target
– 3DS is, in Japan, on good track with 3/5 top games from Nintendo
– Animal Crossing: New Leaf has exceeded plans
– US market has been worse with only 2 out of the top 20 titles from 3DS and no console in the territory
– US sales down 27%, compared to Japan while previously 2.5x
– “also blaming competitors were aggressively bundling titles in usa and eu”
– Germany and France 3DS sales up year-over-year
– These are the best markets for Europe
– In the US, Nintendo had 5 titles in the top 20
– France: 11/20; Germany: 10/20; Spain: 11/20
– UK was lower
– “still saying 3ds volumes accum exceeding ds ramp”
– Overseas 3DS software is not there yet to drive hardware sales, but has become leading platform in Japan
– Wii U value proposition not delivered enough to consumers
– Nintendo is selling below cost and not planning to discount further
– “set minimum 100bn op for next fy,committment from mgmt, want to eliminate loss per unit aggressively”
– To achieve this target in Japan, 3DS will gain Monster Hunter 4, Dragon Quest VII, Pokemon X/Y, and has Animal Crossing
– Overseas, Nintendo will release Fire Emblem, Brain Age, LEGO City, Animal Crossing by mid-year
– 10 more titles coming from Nintendo
– All of these games will be available digitally on 3DS
– More Japanese 3DS games for third-parties will be released overseas like Professor Layton
– Digital space has proven important for sales
– Animal Crossing: New Leaf sales account for 1/4 of sales
– Nintendo wants to do more third-party collaborations
– Not just licencing; Nintendo wants to collaborate with developers
– Wii U connectivity rate is 74%
– Nintendo wants to enhance pad usage
– Google Street View delayed to mid-February for Japan
– Iwata says it’s an example of what they want to do with the GamePad in living room
– Called “WiiStreetU”
– Can tour places from living room
– Adjusts to orientation of GamePad as you pan around
– Handheld and console R&D is now together
– Plan is that software can work across each other with potential for mid-long term
– Wii U will have more software to come out from mid-year onwards in particular
– Miyamoto: changing my gaming style with Wii U
– Miyamoto – saying developers have not put much uniqueness in games as yet
– Iwata: Wii U is part of my life
– Iwata says not every single game can become cloud offered and believes hardware won’t become obsolete
– Need to think of something new and unexpected in games
– Miyamoto: smartphone games are now so functional, users become satisfied
– Nintendo’s mission is to offer more and hence users buy their systems
– Miyamoto: for consoles, he thinks the TV can be more useful in people’s lives; this is Wii U’s mission
– Animal Crossing: New Leaf has been more successful with more women/girls compared to the DS game; 2/3 women buyers
– 3DS female mix was 25% in week 1, but that hit 50% when Animal Crossing launched and continues at high levels since the game released
– Iwata: need to think of better way to communicate asymetrical gameplay
– Miyamoto: don’t think all games should incorporate asymetrical gameplay
– Miyamoto: Miyamoto thinks besides HD there is no better way to play with 2 screens
– Iwata: said up until middle of last year was difficult to develop for Wii U for Nintendo and 3rd party, improve over time, we have overcome it
– “processor is memory optimised,cpu/gpu becoming less important, competitors doing the same”
– Iwata: digital sales key for growth, but won’t replace packaged releases
– Achieved 11bn sales in 9 months
– Wii U NFC “can be used for games with figures/cards working with game, making preparations in that direction ,say by end of yr”
– ” nfc is similar to felica in jp so studying to use nfc for e-money, no change to dividend policy or return to shareholders”
– Iwata: it is my mission to improve and make our platforms solid and hence achieve 100bn op, wiiu after summer will have more games to drive
Remember Tomodachi Collection 3DS? It was announced in August of last year, but dropped off the radar following the initial reveal. The game is still in development, according to an updated release schedule from Nintendo, and it’s still on track to launch this spring.
There are other interesting inclusions in the schedule. Nintendo lists the new Monolith Wii U game for Japan, but not North America and Europe. That’s rather strange. I have a feeling that Nintendo won’t be stingy with its localization like it was with Xenoblade, but the non-inclusion is peculiar.
Animal Crossing: New Leaf is coming to North America “early” this year. Europe is getting the game between April and June. The Legend of Zelda: Wind Waker HD is reconfirmed for release in all three major territories (North America, Europe, and Japan) this fall.
Take a look at the full release schedule above.
