Topic: "A single game saved the GB (Pokemon), it could save the Wii U too” Iwata said

[BlackNMild2k1]

http://www.bloomberg.com/news/2014-01-29/nintendo-plans-1-2-billion-buyback-after-wii-u-flops.html

Stock buy-backs, temporary pay cuts, shareholder reach arounds, revised forecast reality checks cashed.
Will we see a NEW NINTENDO tonite after the shareholder meeting?

Let's hope so.

Regarding the Buyback:

“That won’t merit shareholders, that’s why we decided on the buyback,” Iwata said yesterday. “But that’s not all the reason. We’ve been rewarding our shareholders mainly through high dividends, but we cannot generate as much profit as we used to make.”

Regarding the Salary Cut and the Wii U

“I’m concentrating my mind on how to rebuild Nintendo rather than how I would take responsibility when things don’t work out,” Iwata said.

“The Wii U isn’t in good shape,” Iwata said. “We’ll discuss how we will handle smartphones. What’s best to do in a short term is different from what’s best for us in a medium term.”

I'm guessing NOA & NOE won't become more independenly run though... which would suck, because it needs to happen.

The president has said he won’t step down after 12 years running the company, and has no plans to change managers in the near term.

lets's just hope that doesn't meant that, and that he will take a step back from the overseas markets and let those regions be their own antennas.

[alegoicoe]

Thats part of being a company, learning how to manage loses while creating strategies to recuperate, I am sure Nintendo has it under control. As for the Wii U selling bad, everyone know that, but still at 5.86 million, is still plenty of time to release some good games and gain sales.

[Adrock]

Nintendo will be fine. I just hope they learn from this. I'm not going to list all the things that went wrong. We know them. Moving forward, do as Vanilla Ice said, "Alright, stop! Collaborate and listen!"

I'll see myself out.

[BlackNMild2k1]

I made a little art in anticipation of "tomorrow's" investors meeting

[Ian Sane]

I want a new and improved Nintendo where they keep all the stuff they're good at (or USED to be good at) and address all the annoying stupid **** that's been part of their culture since 1996 (or maybe 1995 with the Virtual Boy).  But I fear that instead I'll get the same old Nintendo only they'll compromise some of their good qualities or they'll be the same but they'll just fixate on something that doesn't matter and not recognize the real reasons for their problems.

I honestly think they need some new people from outside.  Everyone working at Nintendo is entrenched in the company's idiotic ideas about third party support or adapting new technology.  They need someone who can recognize their numerous mistakes.  You think Nintendo has any idea of exactly what they're doing wrong in attracting third party support?  Don't you think if they did they would still have the same problem a good 18 years after the N64 launched?  They don't know and any new attempt to address it would just be a blind speculation.  Only an outsider will be able to turn that around.  The time for Nintendo to demonstrate that they knew how to fix their mistakes was on the Gamecube, not two generations later.  If they could fix it themselves they would have done so over ten years ago.

[Phil]

I'd love to see Nintendo headquarters giving the Western branches some form of autonomy like before Mr. Iwata came on board as president.

[smallsharkbigbite]

Thats part of being a company, learning how to manage loses while creating strategies to recuperate, I am sure Nintendo has it under control.

Good companies/management would have the understanding of the market and the foresight to release products that the consumers want.  Then they could gain market share and have the upper hand on their competitors. 


The business market constantly changes as consumers needs and lifestyles change.  I have no confidence in Nintendo to "right" the ship.  Take out Wii (anomaly) and every home console has sold less than the previous iteration as Nintendo loses ground each generation to their competitors.  NES 62M > SNES 49M > N64 33M > Gamecube 22M > Wii U?

[Pixelated Pixies]

If only Wii Fit U had been released sooner...

[BlackNMild2k1]

Xmas 2010 and this would be a different conversation, because Nintendo would be preparing the successor already for Xmas 2014.

[BlackNMild2k1]

http://blogs.wsj.com/digits/2014/01/29/live-nintendos-strategy-briefing-to-address-future-direction/

On the possibility of tie-ups, Mr. Iwata says Nintendo can’t do everything on its own and will be “flexible” in considering its options. But he says there’s something that Nintendo will stick to: the creation of products that are unique and not comparable to anything else. “We’d like to work with other companies where necessary while maintaining our unique identity,” he says

I hope this means that Nintendo will let Google help them with the future OS and Online experience of the N7
maybe let Valve be of a little assistance in integrating a good game shop and online multiplayer experience
Allow AMD/ATi to sell them on some higher grade parts instead of fully customizing older parts for size and power consumption control.

In the meantime I hope they redesign the Wii U hardware to look different so that a new marketing push won't be retreading old ground trying to fight prior conceptions using same old imagery. New Marketing, New Look. Call it Wii U 2.0, same hardware, different look, trick the general audience into thinking it's something new, when it's really the same thing they've been ignoring for over a year now.

[Enner]

The slides for Jaunary 30th, 2014's corporate management policy briefing are now in English!
http://www.nintendo.co.jp/ir/en/library/events/140130/index.html

[BlackNMild2k1]

Quick Start Menu incoming with Summer Update for Wii U
http://www.nintendo.co.jp/ir/en/library/events/140130/02.html

Also, one of the major benefits of the GamePad is that we can easily play video games without using the TV, and this has been well received. Unfortunately, however, after starting up Wii U, there is a wait of over 20 seconds before we can select a video game title, and hence it is not an ideal situation for users now.

To solve this problem, a quick start menu for the GamePad will become a reality after a future system update planned for early summer.
This new function is currently under development, and although we cannot show a demo with a real machine, we have made a video to show you what the function can do, so please take a look.

[Sarail]

Based on the translated slides and interview, it looks like Nintendo are going to be jumping head first into using more of their unused IP now. This means great things. Such as...

StarTropics 3: The Return

DO IT, NINTENDO. YOU KNOW YOU WANT TO. OH GOD YES.

[Adrock]

A thousand applauds for you.

I hope this means that Nintendo will let Google help them with the future OS and Online experience of the N7
maybe let Valve be of a little assistance in integrating a good game shop and online multiplayer experience
Allow AMD/ATi to sell them on some higher grade parts instead of fully customizing older parts for size and power consumption control.

Android is open-source so Nintendo could just take it and create their own fork to it like Amazon does for the Kindle Fire. I doubt Nintendo could convince Google to help them do this because Google doesn't particularly like companies tweaking the operating system and skipping the Google part of Android. Nintendo may be okay with that because they don't care about Google's apps. Nintendo would just need someone else to do create their own alternate version of Android for them if they can do it themselves (and they probably can't if Wii U operating system is anything to go by).

Getting Valve to help them on their online store and system would solve the problem of going outside of Google with an Android fork. It may be a good idea to get Google's blessing so as not to rock the boat. Nintendo could include Google's apps which is what Google wants even if Google doesn't build this version of Android for Nintendo themselves. Nintendo could include a "Powered by Android" sticker and hey, everyone wins.

[Stogi]

Nintendo should crowdsource they're OS. I bet an enthusiastic team of japanese kids could make a better OS.

[BlackNMild2k1]

I can't wait for this to become reality

On Wii U, we launched Nintendo Network IDs, which are abbreviated as NNIDs. This is the first step of our efforts to transform customer relationship management from device-based to account-based, namely, consumer-based, through which we aim to establish long-term relationships with individual consumers, unaffected by the lifespans of our systems. Our future platform will connect with our consumers based on accounts, not devices.

I'm guessing and mostly hoping that virtual console 2.0 launches on the same day with massive library available on day one.

[BlackNMild2k1]

Looks like Club Nintendo is about to gain some value

As we continue to redefine our platforms from a device-based system to an account-based system using NNIDs, we will also try to change the way in which dedicated video game systems as well as software are sold that people have come to take for granted.
The way in which dedicated video game systems and their software are sold has not changed significantly since the business model of dedicated video game platforms was first established 30 years ago. Dedicated video game systems are sold for two hundred or three hundred dollars, on which standalone software titles are distributed for 30 or 50 dollars. This simple model received widespread support from consumers that enabled us to create today’s market. The decision to change it is the manifestation of our recognition that we cannot expect this model to work forever amid dynamic changes in people’s lifestyles.
If we succeed in the redefinition of video game platforms that I speak of today, our account-based connections with consumers will become very clear. For example, until now it has been taken for granted that software is offered to users at the same price regardless of how many titles they purchase in a year, be it one, five or even ten titles. Based on our account system, if we can offer flexible price points to consumers who meet certain conditions, we can create a situation where these consumers can enjoy our software at cheaper price points when they purchase more. Here, we do not need to limit the condition to the number of software titles they purchase. Inviting friends to start playing a particular software title is also an example of a possible condition. If we can achieve such a sales mechanism, we can expect to increase the number of players per title, and the players will play our games with more friends. This can help maintain the high usage ratio of a platform. When one platform maintains a high active use ratio, the software titles which run on it have a higher potential to be noticed by many, which leads to more people playing with more titles. When we see our overall consumers, they generally play two or three titles per year. We aim to establish a new sales mechanism that will be beneficial to both consumers and software creators by encouraging our consumers to play more titles and increasing a platform’s active use ratio without largely increasing our consumers’ expenditures.
Nintendo aims to work on this brand-new sales mechanism in the medium term, but we would like to start experimenting with Wii U at an early stage.

The more you buy, the cheaper it gets. Discounts for bulk gamers, Uncle Bob should be so pleased to hear that.
Instead of pointlessly increasing your gamer score, you get to gradually raise your gamer discount. Sounds good to me.

[Adrock]

Yes to all of that. All the time. Forever.

[NWR_insanolord]

By the end of the current generation Nintendo's going to be paying me to play their games.

[smallsharkbigbite]

Lol, I don't think Nintendo would be quite that aggressive.


I could see them doing what Sony does.  Spend $50 in the month, get a $5 or $10 eshop card.  Or buy 3 eshop games get 10% off your entire purchase.  Maybe 10% off games once you hit platinum status.  I wouldn't see them giving any rewards for physical games or giving rewards based on anything purchased over a year old.  They want you to purchase new content after all. 

[BlackNMild2k1]

"Abandon Old Assumptions"...“Mergers and Acquisitions are an option" said Iwata
http://www.nintendolife.com/news/2014/01/satoru_iwata_states_that_nintendo_should_abandon_old_assumptions_about_its_businesses

Nintendo has undergone continuous changes over years, moving from Hanafuda playing cards to video games, and offering newer systems like the Wii. But we've been preoccupied with a fixed idea of what a game should be like. The game industry is at a turning point amid new developments like the rise of smartphones.
...Mr. Yamauchi (former President Hiroshi Yamauchi) often said "Shitsui-taizen, Tokui-reizen," meaning that we should act regally when things are bad, and be calm when things are going well." Were he alive now, he would tell me to carry an air of confidence.
We built up cash reserves when earnings were strong. Because the entertainment industry ebbs and flows in wild swings, Mr. Yamauchi insisted it is vital to have deep pockets. Without savings, we could not have recovered from a single failure in game systems. Even now, we can afford many options because of our robust financial standing.

We'll change the way we sell products, by managing customer information via the Internet. We'll offer discounts to steady, regular customers. We'll cultivate emerging markets and launch new businesses in health and other areas. In an emerging country, you can expand the user base only after you offer a product line different from advanced economies in pricing.
We should abandon old assumptions about our businesses. We are considering M&As [mergers and acquisitions] as an option. For this reason, we'll step up share buybacks.

Let the shopping spree begin? Where should they start?

[Adrock]

Let the shopping spree begin? Where should they start?

As long as they're intelligent about the acquisitions, go for it. They shouldn't overpay just because they're open to acquiring a company.

My personal wish list: Wayforward Technologies, Mistwalker, Platinum Games, and Vanillaware. They're small and make games Nintendo themselves do not make (there's some overlap with Wayforward Technologies). Put them to work strictly making console games. These are low risk, medium reward acquisitions. If Nintendo could pick up MercurySteam, do that.

It will be difficult to acquire larger companies though if there's a decent one on the block, inquire. I think this only works if Nintendo allows them to do their own thing with minimum micro-managing. For example, if Nintendo acquires Company X who are working on a title then tells then to put Mario in it, that just isn't going to work.

[Ceric]

...
Let the shopping spree begin? Where should they start?

The Patent Companies that just hold Patents to sue people.  In Particular not just the ones that Sue Nintendo but the ones that Sue MS and Sony as well.

Occulus VR as a Seed to start a Hardware branch in the US.

Wizard of the Coast for a step into Tradition.

If they are serious about going into Medical there are a lot of little medical companies that are making some promising tech.


Acquire a Publisher to be Nintendo's Touchstone and release more mature games and even games on other consoles without the Nintendo tie unless you dig.

[Fatty The Hutt]

...
Let the shopping spree begin? Where should they start?

More baseball teams 

[Ian Sane]

The time for acquisitions was when THQ went under.  They missed that by, what, a year?  I'm not sure who they could merge with.  For the most part I would still want Nintendo calling the shots in regards to whoever they merge with.  Otherwise Nintendo would effectively be dead.