

Mutex Nintendo - mh_
http://www.marco.org/2013/09/02/mutex-nintendo

======
bane
Ugh, once again Marco succeeds in making Apple's way look like the only way.
Here's two reasons why Marco and especially that hack Gruber are both
fantastically deluded:

1) Nintendo is the Disney of Video Games. Lots of companies make cartoons &
there's tons of theme parks, but there's only 1 Disney. It's a seal of
quality, of fun, of playability. Nintendo's reputation, and the consumer
mindshare is in this.

You fill yours and your kid's shelves with Disney books, movies, and Nintendo
video games and other assorted merch. A $500 very breakable phone with a $100
a month of data services for my 9 year old? I don't think so. A $130 handheld
with a few games he's earned from doing chores that he can beat around, drop
and otherwise drag and kick around is where it's at. Sure you see the
occasional bored kid at a family dinner using their mom's phone to play angry
birds. But you see 20x as many with their Nintendo xDS playing Mario Brothers.

Nintendo generally makes lots of money by using slightly older technology to
make this year's great new gaming experience. They've survived generations of
very competitive onslaught. They've _never_ targeted the high end gamer...from
the beginning.

"Nintendo needs the profits of the high end" is quite simply, incorrect.
Nintendo profits from pretty much every unit of everything they move. And on
top of moving games and systems they have a substantial merchandising business
probably second to only Disney.

The only surprise is that Nintendo hasn't been able to get into theme parks
and cartoons in a bigger way. A Disney/Nintendo cross licensing for characters
would be _amazing_. Bring your kids to Walt Disney <insert park>, your
daughter gets to meet all her princesses and your son gets to hang out with
Samus and Mario.

2) "But but but", Marco argues, "people are getting used to paying <$10 for a
game". Yeah, but those games suck compared to a new Mario title. But let's say
that suddenly amazing $4 games started coming out.

Let's play a game, given that kids abuse systems so badly and selection of
Apple handhelds is...limited. Would I rather buy a free/cheap Android phone
for my kid to abuse or an expensive and fragile iPhone? I can guarantee it
would be the one with the lower replacement cost, especially after the first
couple phone go in the toilet or down the stairs.

But let's be serious, there's zero possibility that Nintendo will go the way
of Sega in the next generation or two. They _dominate_ handhelds in a way
Microsoft used to dominate the desktop business and the WiiU, while a
technological disappointment in some ways was a carefully calculated system
designed to ensure that the big N never lost a dollar on any part of their
vertically integrated gaming empire that they sold. There's no such thing as
"loss leader" at Nintendo.

And let's face it, phone gaming frankly sucks compared to holding a DS and
working a d-pad.

\- edit -

for _anybody_ to get what Nintendo is about should read up on Gunpei Yokoi's
"Lateral Thinking of Withered Technology" (枯れた技術の水平思考) It makes analysis like
this really seem very uninformed about the company.

~~~
Apocryphon
The problem I see is twofold. Like Disney, Nintendo is in danger of recycling
its old franchises again and again. How much innovation has there been to the
Mario franchise? Do we really need another hundred or so Pokemon?

Like Apple, Nintendo has seen great success by adopting the Blue Ocean
Strategy with the Wii, but now is expected by the public to repeat that
success with further innovation. Innovation is hard, and WiiU isn't very
innovative.

Neither of these are insurmountable challenges, partly because the public
(either kids or adults) is full of casual gamers who don't really care for a
lot of innovative in either their games or their hardware. But it's a bit
disappointing.

------
bbx
Key phrase:

 _" But I was always thinking of making iOS games and making their own
hardware as mutually exclusive."_

For Nintendo, it is. As far as I recall, Nintendo _never_ released one its
games on another platform. And Satoru Iwata (Nintendo's CEO) explained it
lately [1]. Relevant quote:

 _" By integrating hardware and software, we can be unique. And because we
have hardware and software developers in the same building, they stimulate
each other."_

Have you ever bought a Nintendo system _just_ for its Nintendo games? I know I
did. Several times. The N64 for Mario Kart and Mario 64, the GameCube for
Mario Sunshine, the Wii for Mario Galaxy and Mario Kart again...

Maybe Nintendo looks like an idealist in a corporate-driven business, but
consumers are somewhat sensible to Nintendo's commitment and that's why
they're still successful.

It can backfire someday. Currently, the Wii U is sold at a loss [2]. I don't
know how it will sort iself out. A bit too early to tell.

Anyway, Nintendo games on iOS would be _hugely_ successful, but it's neither
in their DNA nor in their _long-term_ business strategy, no matter what gaming
platform you're talking about (because yes, iOS has become a gaming platform).

[1] [http://www.gamespot.com/news/iwata-explains-why-nintendo-
won...](http://www.gamespot.com/news/iwata-explains-why-nintendo-wont-release-
its-games-on-other-platforms-6412687)

[2] [http://www.gamespot.com/news/nintendo-continues-to-sell-
wii-...](http://www.gamespot.com/news/nintendo-continues-to-sell-wii-u-
hardware-at-a-loss-6412671)

~~~
msh
Nintendo did a mario game for the phillips CDI
([http://en.wikipedia.org/wiki/Hotel_Mario](http://en.wikipedia.org/wiki/Hotel_Mario))

~~~
etler
The Phillips deal was essentially a way to annoy Sony, with whom they had a
contract that went sour. They weren't involved in any of the CDI games, and
they were all horrible.

------
saltyknuckles
I find it interesting that these hardcore Apple guys talk about putting
Nintendo games on iOS when they support a company that makes their own
hardware to put their own software on it only. Nintendo has enough money saved
up to think of something and I don't see them giving up on hardware. I like
that Nintendo takes great care of there games just as Apple does with their
software and hardware. Nintendo's strongest business is handheld games yet
they should make iOS games. It just doesn't make sense.

~~~
demallien
The thing is, if you have to walk out of the house with only one gadget on
you, you don't take a Nintendo DS, you take your telephone - it'll give you
some gaming on the go, whilst keeping you connected, allowing you to take
photos and have a GPS.

Nintendo has to compete against that, and it is not easy. On the other hand,
Nintendo could make an absolute killing by selling a gamepad accessory for the
iPhone - extra battery life plus a decent d-pad/thumbsticks would be an easy
sell for gamers. You could probably even price it at a pretty steep mark-up
and make nearly as much profit as they must be making on the DS. Make all
Nintendo games compatible with it, and run a licensing scheme so that other
game companies can list themselves as compatible with the hardware.

This strategy allows Nintendo to continue innovating where they have
successfully done so in the past - specifically with clever input devices.
It's been a long time since Nintendo could claim to rule the roost for things
like raw processing power, so leave Apple to do the heavy lifting there.

~~~
joenathan
>if you have to walk out of the house with only one gadget on you

When would you have to walk out of the house with only one gadget?

~~~
demallien
It does actually happen to me - do you never do that? But I agree, it was an
inelegant expression of my argument. I was trying to get across the idea that
a phone will do everything for you - you don't have to buy a separate gadget
for games, and many people won't buy a separate gadget, either for money, or
because they don't want the hassle of having to recharge yet another device
each evening, or whatever. I know plenty of people that used to use Nintendo
DSes all of the time, that have ended up leaving theirs in a drawer for these
sorts of reasons...

------
primigenus
The best article I've ever read that explained Nintendo's product strategy was
written in 2005 by Daniel Cook of lostgarden.com (founder of Spry Fox,
creators of Triple Town amongst other games) on the eve of the launch of the
Wii, and discusses how Nintendo fundamentally needs a creative environment
based around product innovation and new input types that it has control over:

[http://www.lostgarden.com/2005/09/nintendos-genre-
innovation...](http://www.lostgarden.com/2005/09/nintendos-genre-innovation-
strategy.html)

------
macspoofing
I disagree. Mobile gaming is a vast wasteland with a shitty business model.
Either you sell a game for peanuts or you go to a freemium model and not-so-
transparently squeeze your customers for every penny they are willing to pay.
There's no benefit to Nintendo. Alos, touch controls are very limiting for a
lot of genres.

Maybe when Apple and Google get serious about mobile gaming, it'll make sense
to release AAA, not until then.

However, I do like the idea of targeting mobile platforms as companion devices
to Nintendo games or consoles. For example, It would cool if you could use an
iPad or iPhone, in lieu of the Wii GamePad. SmartGlass-type stuff is cool and
detracts nothing from the platform. Slick mobile app access to your account is
awesome. Nintendo should have a presence, but releasing standalone games today
is not necessary (didn't save Sonic).

~~~
zabuni
We even have developers moving from IOS to the 3ds because of the better
margins.

[http://gamerthumb.com/2013/08/01/mobile-dev-abandons-
overcro...](http://gamerthumb.com/2013/08/01/mobile-dev-abandons-overcrowded-
ios-android-for-3ds-eshop/)

Why would Nintendo go to being lost in the crowd like that.

I understand that both Marco and Gruber see that Nintendo would bring a lot of
games that almost seem tailor made to the IOS platform. Animal Crossing is
almost a perfect cell phone, but one that is unsullied by micro transactions
and the usual mobile bullshit. But they both seem to have a view that what is
good for Apple is good for everyone sometimes.

------
stelonix
Nintendo isn't doomed. Period.

People have been saying this since the Gamecube days, and what happened after
that? Nintendo Wii. This link[1] has an enumeration of quotes saying things
like "Nintendo should stop making hardware", dating back from _2003_.

[1]: [http://kotaku.com/5986942/nintendos-doomed-they-should-go-
th...](http://kotaku.com/5986942/nintendos-doomed-they-should-go-
third+partysaid-everyone-ever)

 _Footnote: I loathe Gawker as much as most people in here, but it 's the only
place I could find a compilation of such _quotes.

~~~
saltyknuckles
Admittedly they just need better hardware. If Apple can sell you an iPod Touch
for 229$ there isn't any excuse for not making a higher quality system. At
least some higher resolution please.

~~~
untog
Eh. I think Nintendo has (justifiably) given up chasing gamers who prioritise
things like resolution- they'll all be fighting Xbox vs PS3 until the end of
time.

Instead Nintendo uses cheaper technology to create cheaper gaming experiences.
I, for one, am glad they did. I bought a Wii, never bothered with an Xbox or
PS3. And I did it for the games, not for the specs.

------
tonetheman
Meh, saying IOS is a gaming platform is a joke. It is a race to the bottom
crapfest. There are good games among the chaff but seriously why would
Nintendo go from 35 dollars a unit to 10 dollars or less a unit. They will
not.

~~~
rythie
The model for many of the iOS games is to sell you in-app purchases, the cost
of the game itself doesn't mean much in that system.

------
joshdance
I hope that whatever happens to Nintendo, they keep making great games. The
hardware needs to be "good enough" to not get in the way. As long as the games
are fun, I will keep buying them.

We have a Nintendo 64, a GameCube, and a Wii in my apt, because there are
versions of MarioKart and SmashBros that are best on a particular system. But
the games, not the system, are the reason we keep them all.

~~~
rquirk
I completely agree but the N64 and GC, at least in their European
incarnations, look like crap on modern TVs. They were probably fuzzy back in
the day too, but the Dreamcast looks a lot better than a GC and they're from a
similar epoch. The last under-the-TV console I bought was a Gamecube BTW, so
it isn't like I'm spoilt by XBox or anything.

The Euro N64 didn't have RGB and (obviously) neither have HDMI and building
the right cable for the GC is... non trivial. Since they were from the 4:3 era
you either get a stretched screen or black borders. On the GC it seems to
force my TV to stretch all the time even if I set it to 4:3, which is a bit
annoying. At least the Game Boy, DS, etc have their own screens built in so
this is less of a problem.

------
fnord123
Alternatively, Nintendo should make smartphones.

------
jamesjguthrie
Nah I disagree with this. I think Nintendo should instead open up the 3DS
platform to indie developers, ala Android and iOS. There are top notch games
on 3DS and there could be even more if they made it easier to develop and self
publish.

Plus, gaming with buttons is so much better than touchscreen gaming, IMO.

------
hatu
Square Enix already has these $20 games (old Final Fantasies)

~~~
marban
These ports belong to one of the worst money-grabs in history. Look at the
reviews: Numerous bugs, no updates for recent iphone/ipads and worst of all,
the controls just suck for everyone who played the real games or is serious
about completing them. [obviously a problem of most touch ports].

I gladly keep a mint SFC with FF3 and Mario Kart packed away than spending a
cent on pseudo reminiscent experiences.

------
pdknsk
I wonder why many Apple faithful are obsessed with what Nintendo does or
doesn't do, should do or shouldn't do. Maybe they're secretly angry that the
current CEO of Nintendo started programming on a Commodore PET, and not on an
Apple device.

~~~
Apocryphon
I see a lot of similarities between the two companies. A willingness to think
different in pursuit of their own hardware standards and form factors
(remember how the Gamecube used mini-discs and had a handle for carrying?),
huge success from pursuing the Blue Ocean Strategy, the capability to inspire
consumer cults (possibly because they are seen as somewhat "purer" than their
competitors), and even similar aesthetics (clean off-white plastic-porcelain
hardware, the lower-case letter 'i').

------
hga
Worth reading if for no other thing this bit of wisdom followed by gaming
company examples, like I use Microsoft and its Office competitors after the
introduction of Windows 3.0 showed they'd lost their ability to write software
that basically worked:

" _Over the last few years, I’ve learned a lot about competition. The biggest
lesson has been that in most cases, products and companies live and die by
their own actions, not their competitors’._ "

~~~
chasing
Eh, I like the article, but Marco kind of undercuts this little pearl of
wisdom not too far down:

"... Sega threw away the Genesis’ tremendous fanbase and success by sloppily
releasing the Sega CD, 32X, and Saturn, all of which were overpriced,
_uncompetitive_ , and poorly supported by game developers and Sega itself."

No company exists in a vacuum. This is why we promote competition and eschew
monopolies, right?

~~~
hga
Depends. Earned monopolies are not so bad, and Microsoft earned their early
Windows 3.x one. At least compared to early OS/2 (crippled by IBM policy
limiting it to 286 mode) and everything else I tried at the time.

And not following this field (RSI means I had to give up on games decades ago)
I don't know what the author means by "uncompetitive", but if that's in
concert with the overpriced, as in less features for more money, it's all of a
piece, even if not as dire as the Windows Office examples.

------
stevewillows
I think a move away form physical media would be a first step. Secondly, the
hardware and even software should double as a media center. Lastly, it would
be awesome of they had a way to incorporate the 3ds as an optional controller
for certain RPGs and such.

All in all, Nintendo may not have its former glory, but it's still a strong
contender in the space. They just need to hit their stride again.

~~~
qu4z-2
I'm pretty sure you can buy most 3DS or WiiU games as downloads these days, if
that's what you mean. Personally I like my 3DS carts. WiiU discs less so,
'cause I don't already have the WiiU in my hands/can't fit the discs in my
pockets.

------
famousactress
Can someone explain to me the argument that it's hardware margins that are
vital to the bottom line for Nintendo and not software ones? It seems to me
the opposite of usual truths when it comes to hardware margins vs software
margins.

------
saejox
Nintendo already has a device that targets mobile gamers.

------
leokun
I loved the Sega Saturn, for what it's worth. Army Men on the Saturn is the
first time I played a multiplayer shooter on a console. It was great.

~~~
DanBC
I also loved the Sega Saturn. Sega Rally on the Saturn is a deliciously well-
tuned game.

------
ebbv
This is not going to happen as long as Nintendo is still making its own
hardware. They are going to keep focusing on their own platform.

One could argue Nintendo should make games for the Xbox One / PlayStation 4 if
these consoles outsell the Wii U as badly as it looks like they will. But
they're not going to.

The reason Nintendo is flailing right now is that the 3DS released with poor
battery life and too expensive. The Wii U released with no "must play" games
even on the horizon, let alone available at launch. (Still only one side
scrolling Mario game, no Zelda or 3D Mario even announced, and Mario Kart is a
ways off.)

Marco is right that Nintendo did this to themselves, but both Marco and Gruber
know nothing about Nintendo if they think there is any chance of them
releasing any iOS games.

