Nintendo loses another half-billion dollars as console sales slide

Posted:
in General Discussion edited May 2014
Legendary game maker Nintendo reported the results of its last fiscal year on Wednesday, revealing losses of 46.4 billion yen, or $457 million, for the 12-month period ending in March.




Nintendo's tablet-driven Wii U game console was a particular disappointment, moving just 2.72 million units globally for the year. A total of 18.86 million software units were also sold during the fiscal year.

The company admitted that looking forward, the Wii U faces a "challenging sales situation." Nintendo plans to differentiate its system from competitors, like the PlayStation 4 and Xbox One, by focusing on titles that utilize the Wii U gamepad.

The Japanese company's handheld Nintendo 3DS continues to be a relatively strong performer in the face of smartphones, however, moving 12.24 million units. In addition, 67.89 million 3DS games were also sold over the last year.

But portable devices running Apple's iOS and Google's Android have been rapidly altering the portable gaming landscape. Gaming revenue from Google's Play Store and Apple's App Store was said to be four times greater than what Sony and Nintendo see from their dedicated gaming devices as of last August.

Wii U


Apple has made efforts to compete more directly with Nintendo for traditional gamers by allowing new Made for iPhone certified gaming controllers, which began to hit the market late last year. These accessories bring physical controls to Apple's iOS platform, allowing users more precise input in traditional-style games that may not benefit from a touchscreen.

There are also rumors that Apple may be jumping into the home game console business with a forthcoming update to its Apple TV platform. Speculation has suggested that Apple may be planning to add a third-party App Store and gaming support to its set-top box lineup -- moves that would turn the device into a sort of iOS-based game console for HDTVs.

That would place Apple in direct competition with not only Nintendo's Wii U, but also Microsoft's Xbox One and Sony's PlayStation 4, representing the current generation of gaming consoles. Those devices, which sell for much more than the $99 Apple TV, also offer media streaming functions and the ability to buy or rent content.
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Comments

  • Reply 1 of 75
    suddenly newtonsuddenly newton Posts: 13,803member
    Why doesn't Apple just design & sell its own controller?
  • Reply 2 of 75
    asciiascii Posts: 5,941member
    Pro gamers are going back to PC and casual gamers are going to mobile. The console is slowly becoming what Steve Jobs called a 'tweener, and in-between device that's not as good as the ones either side.
  • Reply 3 of 75
    bdkennedy1bdkennedy1 Posts: 1,459member
    I guess I'm tired of Nintendo rehashing their old titles - changing them up just enough to barely make the game different for it's next console.

    I saw nothing in the Wii U that wanted me to upgrade.
  • Reply 4 of 75
    SpamSandwichSpamSandwich Posts: 33,407member
    At the bare minimum Nintendo should be porting their old games over to iOS. The success of that horrible Flappy Bird game should've been a clear indication to them for pent up demand
  • Reply 5 of 75
    MarvinMarvin Posts: 14,624moderator
    ascii wrote: »
    Pro gamers are going back to PC and casual gamers are going to mobile. The console is slowly becoming what Steve Jobs called a 'tweener, and in-between device that's not as good as the ones either side.

    In some cases but Sony and Microsoft are selling better than ever:

    http://arstechnica.com/gaming/2014/04/microsoft-hits-5-million-milestone-for-xbox-one-as-sonys-lead-grows/

    They've only been on sale for 5-6 months and are at 7 million PS4 and 5 million XBone. It's just Nintendo struggling because their audience is moving to tablets and smartphones. Sony's and Microsoft's audience isn't and while PC gaming has grown, the audience can't shift from the consoles to it if the games don't. GTA V isn't on the PC.

    Nintendo has a lot of cash to keep them going but I'd say the Wii U puts them out of the console business. No way they'll make another standalone console box. They have no choice but to focus on mobile completely. IMO they should do it now and kill the Wii U off.
  • Reply 6 of 75

    Apple should throw a billion dollars at Nintendo for all their games and bring them exclusively to iOS.

  • Reply 7 of 75
    tallest skiltallest skil Posts: 43,399member
    Originally Posted by bdkennedy1 View Post

    I saw nothing in the Wii U that wanted me to upgrade.

     

    One of my biggest problems with the WiiU is that it doesn’t upconvert Wii games to 1080. Had Nintendo done that, they would have had tens of millions of launch day sales as people with Wii would have just upgraded for their EXISTING games.

     

    Dolphin can do that, for heaven’s sake! You’re telling me that the actual hardware designed to play the games can’t?!

     

    Originally Posted by SpamSandwich View Post

    At the bare minimum Nintendo should be porting their old games over to iOS.

     

    A move which would net the company tens of billions of dollars is a “bare minimum”? ;)

     

    I think that’s exactly what they should do. Everything the NES, SNES, N64, and GameCube had to offer should be available in the App Store.

     

    When the WiiU is superseded, then Wii games should go in the App Store. WiiU games when it’s successor is replaced. That then gives plenty of incentive to keep buying modern Nintendo hardware and games when they’re released.

     

    Originally Posted by Marvin View Post

    Nintendo has a lot of cash to keep them going but I'd say the Wii U puts them out of the console business. No way they'll make another standalone console box. They have no choice but to focus on mobile completely. IMO they should do it now and kill the Wii U off.


     

    You’re right about more things than can be counted, Marvin, but not this. The WiiU suffered from a design crew hit on the head with a brick and a marketing crew hit on the head with a dump truck full of bricks. I don’t think one failure says much about Nintendo. Their last flop this bad was in the ‘80s.

  • Reply 8 of 75
    gustavgustav Posts: 826member
    I have a Wii U, and really like it. I don't get time to play games a lot so it has enough to keep me going. Nintendo always wants to have a lower cost console, and I think it hurt them this time because they didn't have a new differentiator like the Wii did to entice gamers to buy it. The second screen (GamePad) just wasn't as well received as it could have been. The GamePad is great for some games, but it is under-utilitized by others. The DS took a while for devs to figure out how to make good use of a second screen, so hopefully the same will happen with the Wii U.
  • Reply 9 of 75
    dasanman69dasanman69 Posts: 13,001member
    One iOS/Android Super Mario Bros game with a few IAPs and they'll turn that half billion loss into a billion dollar gain.
  • Reply 10 of 75
    island hermitisland hermit Posts: 6,217member

    How about that. Ten replies and nobody has yet called this NintendoInsider.  ;) 

  • Reply 11 of 75
    SpamSandwichSpamSandwich Posts: 33,407member
    How about that. Ten replies and nobody has yet called this NintendoInsider.  ;)  

    You did...the spell is broken. ????
  • Reply 12 of 75
    christopher126christopher126 Posts: 4,365member
    At the bare minimum Nintendo should be porting their old games over to iOS. The success of that horrible Flappy Bird game should've been a clear indication to them for pent up demand
    Bingo! Excellent point. :) this is what every company should be thinking. Get on iOS or die. Even MS has put Office on iOS.
  • Reply 13 of 75
    macxpressmacxpress Posts: 5,190member
    Quote:

    Originally Posted by island hermit View Post

     

    How about that. Ten replies and nobody has yet called this NintendoInsider.  ;) 


     

    So what does this have to do with Apple? Yet MORE reporting on un-Apple related things. They've already missed a shit load of stories this morning yet they continue to spew out crap unrelated to Apple. 

     

    I seriously think they need to change the name of their site to something else. Really, they report on everything so I think the site needs a new name. Maybe TechInsider or something. 

  • Reply 14 of 75
    pmzpmz Posts: 3,433member
    Quote:
    Originally Posted by SpamSandwich View Post



    At the bare minimum Nintendo should be porting their old games over to iOS. 

    They will go bankrupt before they realize that they should have started THIS ^ in 2009.

  • Reply 15 of 75
    mknoppmknopp Posts: 257member
    Quote:

    Originally Posted by ascii View Post



    Pro gamers are going back to PC and casual gamers are going to mobile. The console is slowly becoming what Steve Jobs called a 'tweener, and in-between device that's not as good as the ones either side.

     

    As has already been pointed out. This isn't exactly true, but it is close enough.

     

    Serious gamers have always bought PCs, Playstations, or XBoxes.

     

    The problem with Nintendo is that their demographic, casual gamers and kids, has been consumed by smartphones and tablets. Both of these demographics are heavily into the smartphone and tablet hardware market now. Couple this with the new Amazon Fire TV and an upgraded AppleTV with an app store (we all know it is coming soon) and the casual gaming market for not only handheld hardware will be lost, but so will the casual gaming hardware market for the TV. They aren't going to get these markets back any more than point-and-click cameras, MP3 players, or netbooks are going to. 

     

    Nintendo is a doomed company unless they finally wake up and realize that they will never be big in hardware any more. They need to forget about hardware and focus on games. I find it very telling that EA announced that they did so well that they are considering a stock buyback, but Nintendo lost money, and it all seems to be because of their hardware fixation.

  • Reply 16 of 75
    bighypebighype Posts: 148member

    Idea for Tim Cook:

     

    Give Nintendo few billion dollars for exclusive rights to Nintendo games. All future Nintendo games will be for iOS and they can then stop hemorrhaging money and Apple will attract more buyers for their hardware.

  • Reply 17 of 75
    bugsnwbugsnw Posts: 717member
    To me, the new Wii U controller looks huge and plasticky. The games look pretty good from what I've seen so far. But the only reason my son plays the Wii instead of the PS3 is due to the Mario games. That seems to be Nintendo's ace in the hole.

    I agree that N could do pretty well to port that fat plumber over to iOS.
  • Reply 18 of 75

    I didn't think the Wii U was that big of a deal.

     

    They didn't market it very well.  For the last year if I go to Best Buy or some place, they had demos for the other consoles and not the Wii U.

     

    I actually went to  a GameStop with my friend regarding getting something for his son.  I tried out the Wii U, playing Kranky Kong with the nunchucks.  I decided I needed to buy it immediately. 

     

    Got the WindWaker edition and I love it.  Actually I haven't had that much fun with playing games in a long time.

     

    Also.  I think Nintendo shouldn't port games over to iOS.  I really don't like iOS gaming, and have never had anything really draw me in like it did with DS/3DS games.  There's just something about making software for specific hardware. 

     

    Can't wait for Marion Kart 8.

  • Reply 19 of 75
    christopher126christopher126 Posts: 4,365member
    Why can't I upload a photo from my iPhone?
  • Reply 20 of 75
    slurpyslurpy Posts: 5,330member
    Quote:

    Originally Posted by bdkennedy1 View Post



    I guess I'm tired of Nintendo rehashing their old titles - changing them up just enough to barely make the game different for it's next console.



    I saw nothing in the Wii U that wanted me to upgrade.

     

    You clearly have no fucking clue what you're talking about. Tell me, why was Mario Super Mario 3D World on the Wii U one of the most highly rated games- ever? Every review was dripping with praise. It was one of the most creative, and genius games I've ever played. Is that cause Nintendo changed it up "just enough"? No, it's because Nintendo uses the familiarity of its franchises, then creates games that are truly something special, going above and beyond- the visuals are merely a skin, the games are filled to the brim with new mechanics and the ideas are often brand new. Thats why the upcoming Mario Kart has also been in development for so long- when Nintendo could have easily "rehashed" it much earlier and got a shitloaf of sales as its system-seller. Same with the upcoming Smash Bros, which has been in development forever. Nintendo shares Apple's philosophy- release things when they're ready. The Wii U has some of the best, and most original games this generation. So many are very highly You didn't want to upgrade because you superficially wrote Nintendo off, without actually caring about quality. What do Xbox/PS4 has that would motive you to upgrade? Its just more of the same. So stop trolling. What an idiotic comment to make in face of all the recycled FPS/driving/etc franchises that obviously you dont mind on other consoles. 

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