hot  /  reviews  /  videos  /  cblogs  /  qposts

Satoru Iwata excited about Nintendo's digital business

2:45 PM on 05.01.2013 // Tony Ponce
  @megaStryke

In a Q&A with investors, the Nintendo president lays out plans for the coming year

Following Nintendo's fiscal year 2013 briefing, during which president Satoru Iwata announced a significant change to the company's E3 presence, a Q&A session was held to address investors' concerns and inquiries. It was a rather humbling discussion, as Iwata had to fess up to Nintendo's slipping performance and defend certain key decisions and changes.

If it wasn't obvious before, it's crystal clear now that no one at Nintendo was prepared for the shift to HD development. "The reason for the delayed release of our first-party titles," Iwata explains in regards to launch window software, "was the fact that completing the games released at the same time as the launch of Wii U required more development resources than expected, so some staff members from development teams working on other titles had to help complete them. In short, the development teams of Pikmin 3 and other future games were understaffed during that period." This resulted in dry period that will last until July, directly impacting the Wii U's sales momentum. You would think that, given seven years of market history upon which to reflect, Nintendo would have been aware of the pitfalls faced by other companies on the 360 and PS3.

But in addressing how Nintendo plans to entice third parties currently skeptical of Wii U's capabilities and market potential, Iwata interestingly placed the spotlight on Nintendo Web Framework, Unity, and the vast ocean of ambitious independent developers. He claims that "it is more challenging to sell packaged software for around $50-$60" than ever before, and this combined with the rise in acceptance of digital versions of 3DS packaged software and the flexible development policies on eShop support his plan to greatly expand Nintendo's digital presence. Indies are key to a strong digital business, but the implication as I understand it is that big publishers are much less so.

The specific question presented to Iwata reads, "I am wondering if the current slow sales of Wii U will have any influence on the attitude of software developers overseas. In frequently receiving inquiries from individual investors, they seem to have the impression that the Wii U system is not so powerful and that few third-party games will be developed in the future. The current weak software lineup has deepened their concerns. I would like to hear your view on this point."

The obvious response would be to parade a list of notable names -- Activision, Electronic Arts, Square Enix, Capcom, Take-Two Interactive, etc. -- and describe how Nintendo has been aggressively negotiating with these companies in order to deliver a healthy supply of third-party content and turn around Wii U's fortunes. Instead, Iwata brought up Nintendo's GDC presentation and the package of web technologies that smaller teams are finding very attractive. While there is no doubt that big boxed software is indeed coming, by focusing on Nintendo's digital initiative, it's almost as though Iwata feels that indies are much more crucial to industry growth than the major publishing space.

But fear not, as Nintendo does not have any intention of pulling out of boxed software. In fact, when addressing the possibility of moving towards cloud gaming, Iwata brings up network latency issues as the reason why that option is not being pursued. "[A]t this point in time, I do not think that acquiring a cloud gaming company will in any way improve our performance," he states -- a reference to Sony and its acquisition of Gaikai, perhaps?

Iwata also addresses his additional role as NoA CEO and how it will play in the company's overseas plans, which includes more effective advertising methods via Nintendo Direct and social media. If all goes well and Iwata can turn around North America's struggles, Nintendo will make its ¥100 billion profit by the end of this new fiscal year. That's the hope, anyway.

The more I think about it, the more confident I am that whoever can best serve indies will be in the strongest position as this new generation really starts to heats up. It's hard to see the traditional market as anything but poisonous these days.

Financial Results Briefing for the 73rd Fiscal Term Ended March 2013 - Q & A [Nintendo]



Tony Ponce, Contributor
 Follow Blog + disclosure megaStryke Tips
(Decommissioned) Super Fighting Robot more   |   staff directory



 Setup email comments

Unsavory comments? Please report harassment, spam, and hate speech to our moderators, and flag the user (we will ban users dishing bad karma). Can't see comments? Apps like Avast or browser extensions can cause it. You can fix it by adding *.disqus.com to your whitelists.

 Quickposts
Status updates from C-bloggers

LinkSlayer64 avatarLinkSlayer64
Since my blog using this is basically useless, I still wanted to share it. [img]http://i.imgur.com/a33WM5Q.png[/img] CAN YOU DIG IT!?
Manchild avatarManchild
I don't think you should be able to say #Fuckonami if you are deciding to support their product anyways. I don't often agree with boycotting and am not condoning that, but get your story straight and show a little consistency.
CJ Andriessen avatarCJ Andriessen
When the band began to play the stars were shining bright. Now the milkman's on his way and it's too late to say good night. So, Good Morning! Good Morning!
Rad Party God avatarRad Party God
I just realized that MGS V unlocks for me tomorrow at noon. I'll be at work by the time this game unlocks, wich unless I manage to let it install remotely, I won't be playing it by Sept 1. #FucKonami >:C
IDrawOnTape avatarIDrawOnTape
I'm guessing all rock bands in the world must have stopped making music videos this year, since I read fall out boy's "Uma Thurman" won for rock video of the year. I can only assume there were no other nominees.that's the only rational explanation.
RatCasket avatarRatCasket
dtoid discussion has been awfully bitchy these past couple of days. knock it off. its just video games.
StripyTrousers avatarStripyTrousers
Just posted my first Dtoid Community blog. Hello all!
ChillyBilly avatarChillyBilly
Good Morning Good Morning We've talked the whole night through Good Morning Good Morning to you Good Morning Good Morning It's great to stay up late Good Morning Good Morning to you
Daniel Lingen avatarDaniel Lingen
#PAX2015
Agent9 avatarAgent9
gonna help my mom move and pack some things. what it means is I'm gonna sit and get yelled at whether I do or do not do something. I can't be the only one with a picky parent that expects nothing less than clairvoyance (-_-)
WryGuy avatarWryGuy
If some weren't aware, Phil/Mike Martin needs some help right now but can't access traditional donation avenues like Paypal on his own. I'm offering to be a middle man. I'm also offering to match 50% moving forward right now. [email protected]
OverlordZetta avatarOverlordZetta
At first I thought it would be fun. Then more ideas came, so I kept adding. More! More! But soon it just became stubbornness. Now, as I stare at 10000 words of meandering loon about a subject I'd almost rather be porn, I must question all my life choices.
Fenriff avatarFenriff
Someone on Gamefaqs asking the real questions. How mad would you be if halfway through the Mad Max game he stumbles upon a tribe of kids and the rest of the game is a lighthearted romp?
MeanderBot avatarMeanderBot
I think, for my first try, I drew a pretty damn good Ryu, if I do say so myself [img]https://www.filepicker.io/api/file/edB8UKLdSZep8ZSOYF8u[/img]
RexterNathan avatarRexterNathan
Really sad that Wes Craven has passed away. He made really fun films.
CJ Andriessen avatarCJ Andriessen
R.I.P. Wes Craven. I'll always remember you for A Nightmare On Elm Street, Scream and Red Eye. I'll try not to remember you for Music of the Heart.
OverlordZetta avatarOverlordZetta
So apparently Nintendo is taking down Mario Maker Let's Plays as fast as they can. Good job!
Snaveage avatarSnaveage
Phantom Pain is fucking glorious.
IDrawOnTape avatarIDrawOnTape
Anyone remember the cartoon "Freakazoid"? I'm doing artwork for a box for work to hold my supplies, but I cant remember some of the better characters. Freakazoid, Steph, Cosgrove, Candlejack, the Lobe, Caveguy... but who else?
TheAngriestCarp avatarTheAngriestCarp
Gotta love all those Dtoid community members that magically appear whenever there's a giveaway.
more quickposts


Contest!


Seriously

Invert site colors

  Dark Theme
  Light Theme


Destructoid means family.
Living the dream, since 2006

Pssst. konami code + enter

modernmethod logo



Back to Top


We follow moms on   Facebook  and   Twitter
  Light Theme      Dark Theme
Pssst. Konami Code + Enter!
You may remix stuff our site under creative commons w/@
- Destructoid means family. Living the dream, since 2006 -