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Nintendo has some serious financial loss.


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#76
KenKenpachi

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Which would hurt them more in the long Run, South Korea isn't in as massive debt as the US is, besides the US has strategic intrist in not selling, South Korea and China have been mulling a joint venture and may welcome the US taking away its brand name. Money isn't everything in this world. In fact its (China) been trying to buy heavy stock in GM for some time, and for China the wealth isn't being gatherd for wealths sake alone, but for a geopolitical weapon. America gets uppy China can go "Lulz want GM to crash?" In fact that may be part of why they are buying more US cars, not as they like them, but as it gives them one hell of a leverage on a very powerful political block in the states.

In fact that is the main driving force in China's markets which are largely still state controlled, not to prosper, but to build a noose to hang the West, or at the very least gain the capitial to enforce its will. But enough of this please before we get the topic locked, if you want to talk on this I will be more than happy to do so via PM.


Anyways so far we have the ngage, 3DO, and SEGA's flops, Atari shot its self in the foot, But besides not changing the hardware or trying a ****** poor gimmick I don't see what they have in common.


As to handhelds I pointed that out early, and as I said before the solar events projected in 2013 might take care of that problem for nintendo.

Modifié par KenKenpachi, 28 octobre 2011 - 08:49 .


#77
JeffZero

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I've been reporting on this fiasco all day. All I have left to say is this: "I hope they get well soon."

#78
Guest_Rojahar_*

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A problem for Nintendo is that they don't have anything to offer beyond their first party games. A Nintendo console is basically a machine for playing Mario and the occasional Zelda. They aren't keeping up enough in the graphical department to share most 3rd party games, the way Microsoft and Sony do. MS and Sony have also joined in the motion controller gimmick, meaning again, Nintendo has nothing to offer other than their 1st party games.

A problem with 3DS is that "casual gamers" can download a bunch of pretty good games on their phone for a dollar a pop, instead of dropping 200 bucks for a device only useful for gaming and requires games that cost 40 dollars or whatever. For traditional gamers, Sony's handhelds seem to offer superior graphics and such. I wonder how Nintendo plans to stay relevant as a hardware developer.

#79
Dominus

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^ All of that.

The gimmick is over - Now Nintendo is going to have a serious uphill battle in order to survive the current gaming market.

#80
robertm2

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i wish nintendo would sell out so i could pay super mario 64 in xbox arcade.

#81
hoorayforicecream

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I don't understand why nobody's brought up the real reason their losses are so big. It's actually little to do with Nintendo itself (aside from doing the majority of its business in the global market).

Right now, $1 USD is equal to ¥75.76. One year ago this day, $1 USD was equal to ¥81.24, and two years ago $1 USD was worth ¥91.15.

This means that if they sold $500 Million in products in the United States each year, their earnings would have been ¥45.575 billion (2009), ¥40.62 billion (2010), or ¥37.88 billion (2011). This results in a loss of ¥4.955 billion from 2009 to 2010, and ¥2.74 billion from 2010 to 2011 simply because they can't raise prices in the states to compensate for the change in currency valuation.

Edit: TLDR for those who don't understand numbers:

The Yen is stronger (worth more) today than it was a year ago, so selling stuff overseas and converts to less yen than it used to.

Modifié par hoorayforicecream, 29 octobre 2011 - 12:25 .


#82
JeffZero

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hoorayforicecream wrote...

I don't understand why nobody's brought up the real reason their losses are so big. It's actually little to do with Nintendo itself (aside from doing the majority of its business in the global market).

Right now, $1 USD is equal to ¥75.76. One year ago this day, $1 USD was equal to ¥81.24, and two years ago $1 USD was worth ¥91.15.

This means that if they sold $500 Million in products in the United States each year, their earnings would have been ¥45.575 billion (2009), ¥40.62 billion (2010), or ¥37.88 billion (2011). This results in a loss of ¥4.955 billion from 2009 to 2010, and ¥2.74 billion from 2010 to 2011 simply because they can't raise prices in the states to compensate for the change in currency valuation.

Edit: TLDR for those who don't understand numbers:

The Yen is stronger (worth more) today than it was a year ago, so selling stuff overseas and converts to less yen than it used to.


This is all quite accurate. I stated the same thing to dozens of people earlier. I'm glad someone pointed it out sooner rather than later.

#83
chrisuuuu

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KenKenpachi wrote...

Which would hurt them more in the long Run, South Korea isn't in as massive debt as the US is, besides the US has strategic intrist in not selling, South Korea and China have been mulling a joint venture and may welcome the US taking away its brand name. Money isn't everything in this world. In fact its (China) been trying to buy heavy stock in GM for some time, and for China the wealth isn't being gatherd for wealths sake alone, but for a geopolitical weapon. America gets uppy China can go "Lulz want GM to crash?" In fact that may be part of why they are buying more US cars, not as they like them, but as it gives them one hell of a leverage on a very powerful political block in the states.


Not saying they would....be they could, since profits of parent companies include their subsidiaries, but if one is underperforming, it would more than likely be shuttered by the parent company. And I'm amazed at the number of doomsayers regarding Nintendo's fate. This is the company that saved the US console gaming industry and gave the world more recognized and higher rated classics than any other game developer in history.

With that said, I'm seriously concerned about the 3ds. I wonder if it can gain traction considering the portable gaming landscape has changed so much the last few years. And Japan has been in stagnation economically for over 10 years. The trifecta of meltdowns of the tech, real estate, and housing bubbles has affected the Japanese business psyche. I think Masayoshi Son, the founder of Softbank, epitomizes the spectacular rise and harsh crash of that period. He has lost more money than any person in history (close to $70 billion dollars!!!!!)

With this current economic climate, why bash Nintendo? The more game companies that close shop, the less choices we have as gamers.

Modifié par chrisuuuu, 30 octobre 2011 - 12:00 .


#84
Kaiser Arian XVII

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The Yen-Dollar relation and its influence on the market is also accurate.

#85
Homebound

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DominusVita wrote...

^ All of that.

The gimmick is over - Now Nintendo is going to have a serious uphill battle in order to survive the current gaming market.


Gimmick. that more or less describes Nintendo this entire gaming generation.

#86
wolfsite

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Well they do have a new system coming out so people aware of this will start to hold back on purchases of the existing system.  Plus I'm sure those who wanted a Wii will have acquired one by now.

Honestly I do feel with Nintendo this is normal, having a loss year before a new major console release.  Hell remember the Gamecube era and that wasn't even as big a seller as the Wii.

But  I agree Nintendo really need to get more 3rd party developers on board and help support them to stay on board.  Nintendo's biggest problem is Nintendo, people only buy it for the 1st part software and tend to overlook 3rd party........ plus they do need to raise the standards of 3rd party releases the Wii was a graveyard of garbage shovelware unfortunately.

#87
KenKenpachi

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[quote]chrisuuuu wrote...

[/quote]

Not saying they would....be they could, since profits of parent companies include their subsidiaries, but if one is underperforming, it would more than likely be shuttered by the parent company. And I'm amazed at the number of doomsayers regarding Nintendo's fate. This is the company that saved the US console gaming industry and gave the world more recognized and higher rated classics than any other game developer in history.

With that said, I'm seriously concerned about the 3ds. I wonder if it can gain traction considering the portable gaming landscape has changed so much the last few years. And Japan has been in stagnation economically for over 10 years. The trifecta of meltdowns of the tech, real estate, and housing bubbles has effected the Japanese business psyche. I think Masayoshi Son, the founder of Softbank, epitomizes the spectacular rise and harsh crash of that period. He has lost more money than any person in history (close to $70 billion dollars!!!!!)

With this current economic climate, why bash Nintendo? The more game companies that close shop, the less choices we have as gamers.


[/quote]

Blah people have been saying Nintendo is doomed!!!!! From the N64 vs PS days.

At current its mainly pissed off former nintendo "hardcore" gamers.


Its no surprise they are seeing a draw down with the annoucement of a new system and the losses are NOWHERE nearly as bad as in the gamecube era. Nintendo always keeps a safety net in case things go wrong, hell I'ld wager they still have money left from the Gameboy sales back in the 80's.

Still I think the Wii U is a huge mistake it would have been better if they released and expansion pack for the Wii, to bring it up to current standards, now they are making a system a year or two before MS, and Sony. Who can sit back, laugh, then crush it when they make a new system.

Nevermind big thrid party devs aren't going to jump onto the Wii U when it leaves there larger 360/Sony crowds behind. Then again the may be aiming namely for outside of North America market, where it wouldn't hurt. Either way the Wii U is a cause of concern for nintendo, and if they foolishly stick to this sony and microsoft will be able to beat them constantly by just out specing them that next year.

#88
Mercannis

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Read an article about this a while ago..Sega made a profit while Nintendo goes in the red..muahaha 

/signed Sega fan

#89
GodWood

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Ringo12 wrote...

GodWood wrote...

Kaiser Shepard wrote...
Well, good.

Let's hope it's the beginning of the end for 'em.

This.

Nintendo has become a blight on the game's industry.

And Microsoft and Sony are what?

Better then Nintendo.

#90
KenKenpachi

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GodWood wrote...

Ringo12 wrote...

GodWood wrote...

Kaiser Shepard wrote...
Well, good.

Let's hope it's the beginning of the end for 'em.

This.

Nintendo has become a blight on the game's industry.

And Microsoft and Sony are what?

Better then Nintendo.

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#91
Nameless one7

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KenKenpachi wrote...

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When I got my nintendo wii, I was expecting a better stable of games, with the lack of third party support I really didn't have anything I wanted to play besides fire emblem and super smash bros brawl, not to mention the wii's original remote and nunchuk controls were awful.  I have no faith in the wii u and until I see some exclusive good third party games on the wii u, it's a no buy for me.

Modifié par Nameless one7, 29 octobre 2011 - 03:15 .


#92
KenKenpachi

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Lol that was aimed at a few people who would hate nintendo reguardless, nameless.

I agree with you saddly I think the WiiU will be a flop given how early its coming out compaired to its compitition. Unless they sell a crap load of WII U's the Thrid parties won't jump away from the PS3-360. And if they do all three at once the WII U's tech well be at best current or at worst under used. So its kinda like Nintendo is just doing this to go WII FIRST!

Its like they are some hot shot in an illegal street race, they think they've won as they are this gen, but all they have won is the police stakeout at the end of the road and some jail time, while Microsoft and Sony hand smack laughing like school girls and drive by nintendo honking there horns as Nintendo gets placed in the police car.

So I think the Wii U needs to actully take a step back engage with the thrid party, and wait for a release along side the next gen consoles. It it needs to just aim for a limited market. I mean the WII did so well thanks to all of those who bought it for a party item. The Wii U may not have the same luck then again it might and we all are wrong.

#93
chrisuuuu

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   Specs is important I agree but less to an extent nowadays and of course so does pricing. I think the leap from SNES/Genesis to PSX/N64 was greater in terms of difference in what the graphics actually look like to this leap from ps3/360 to whatever new iteration we will see soon. But if you don't have the library to follow up it will only go so far. I know price does play a factor but come on...for Sony to go from 150 MILLION PS2s sold to 50 million PS3 sold is a difference of 100 million units. I'd say Sony has done terrible this generation compared to last and the PSN fiasco still keeps on haunting them. And considering they had the hype of the Blu-Ray format and Cell processor. People were annointing the specs like the second coming of Christ

Modifié par chrisuuuu, 29 octobre 2011 - 05:46 .


#94
KenKenpachi

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Actully Chris thats a neat point, between the PSN screw ups, some issues in marketing and the hard fall on sales, why isn't anyone saying this about Sony?

Course so long as Sony as a whole does okay the game Division can be kept alive, but the fact is Sony has came in last when compaired to Microsoft and Nintendo, yet know one is posint about that or going "Sony needs to Die, I want to see Uncharted on the 360"

#95
slimgrin

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Nintendo deserves this. They've targeted casual gamers for years now, the most fickle of the lot. And now those gamers have moved on. Plus, why in the hell have they not embraced current technology? Why have they milked their franchises to death? How many effin' Mario and Zelda games do we need?

I hope they sink and never revive.

Modifié par slimgrin, 29 octobre 2011 - 07:24 .


#96
naughty99

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If you are curious about Nintendo's take on all this, look no further than Nintendo's Semi-Annual Financial Results Briefing

They seem to be doing well on the software side:

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Modifié par naughty99, 30 octobre 2011 - 02:11 .