It’s beginning to look like third party publishers will be focusing more on the Wii in 2009. Nintendo fared far better than many game companies and developers in the recent economic downturn. In a recent conference call with Gameindustry.biz Satoru Iwata, president of Nintendo, commented, “A number of major software manufacturers are reporting that they are experiencing a financially challenging time or that they will be scaling down their operations. On the other hand… I doubt that anyone in the industry was able to correctly forecast the current sales situation of Wii.”
Iwata admits that even he did not think that the Wii would sell over 10 million units in the United States alone. “Of course, Nintendo was hopeful that we would make this new system the best selling hardware in the next generation. Even so, if you ask me if we were able to foresee today’s situation, I am not that optimistic so I have to admit that today’s situation is exceeding even our original expectations.”
He also speculated that game developers probably didn’t think the Wii would sell as well either. “To the third party software manufacturers, the surprise must be bigger. Some are reportedly saying that they bet on the wrong horse or that they need to change course.”
Much of the Wii’s success can be attributed to casual gamers, people who want to play video games occasionally but don’t want to make a large commitment, nor feel they need special skills to play a game. Although the Wii has had success in marketing to casual gamers, many hardcore gamers have felt ignored by game developers marketing so heavily to casual gamers on the Wii. Whether that will all change in 2009 has yet to be determined but hardcore gamers can be hopeful. Last week Electronic Arts CEO John Riccitiello made a call to investors and said that EA’s goal is to “rival Nintendo on their own platform.” He admitted EA had made a mistake by neglecting the Wii saying, “You live, you learn you adjust and improve.” Riccitiello added, “This year’s title slate is a significant improvement from last year.”
Riccitiello declared that the Wii will receive half of EA’s emphasis this coming year. With EA recently making several large employee cutbacks and announcing game delays, we will have to see if the company will live up to this statement. Either way, Iwata thinks that more high quality games are headed for the Wii. “Overall, we recognise that our relationships with the software manufacturers are shaping up better than before. So, in the mid-term, we believe that more attractive titles will be launched by them for our platforms.”
Nintendo = Google. What's interesting here is the blurb about EA devoting 1/2 its resources to the Wii in 2009. Given EA's recent slate of quality, it could push the few remaining non-Wii owners (self included) over the edge.
Looks like someone hasn't been paying attention to the latest Japaneese hardware trends.
A couple weeks ago, Nintendo stunned the Tokyo Stock Exchange by slashing their expected quarterly profits by 33%. Also, the Wii is the only next – gen console in Japan to see it's current YOY market share decrease.
If anything, you would expect an economic climate such as this to hurt the Wii the most. The 360 and PS3 are aimed at hardcore gamers – the kind of people who buy games no matter how tight money is. The Nintendo Wii's audience are mostly people who see games as a luxury rather than a necessity, so they're more likely not to buy games when money is an issue.
David, thanks for an intelligent reply, but I have to disagree with the statement "The Nintendo Wii's audience are mostly people who see games as a luxury rather than a necessity, so they're more likely not to buy games when money is an issue."
That's a gross generalization. Case in point? I'm the Managing Editor at this very site, consider myself 'platform agnostic' and I own a 360 and a PS3, but rarely turn them on – by choice. Buying or otherwise playing games for THOSE consoles is *not* a necessity for me.
Furthermore, the demographic of Wii ownership is skewed more towards upper & upper-middle-class families, which our current economic climate doesn't hurt quite as much.
Just one man's opinion, but definitely keep the conversation flowing.
Speaking for myself as a PS3 owner and "hardcore" gamer, I'm not the type to "buy games no matter how tight money is." And frankly, if money is tight for a hardcore gamer, that indicates they're reaching the bottom of the barrel to fuel their addiction. So unless they're going to start stealing or sell their mothers, I'd say a jobless person, hardcore gamer or not, isn't going to spend money that they don't have. Face it, even the crazies of hardcore groups (and they're not that big) can float an entire industry in decline.
Remember what Sony said about their PS3? "People will buy it even if there are no games," "they'll work two jobs to get it." I think you're falling into the same assumption about hardcore gamers.
David, are games a necessity to other console gamers? Really?
David's comments about Japan are somewhat true. But, the Japanese can turn on a dime. Or upon the release of a killer app. Monster Hunter is that app and everyone in Japan knows it. Dave, if you follow Japan as closely as your comment alludes, you know it, too.
In the US, it's a whole new world. People who were PS/PS2 devotees are now parents. They are enjoying introducing their kids to their dad's/mom's favorite hobby while growing up. They are not introducing their kids to the 360, nor the PS3. It's only the Wii. It's got the games the family can play together. Now, the console is in the house…. what to do when the kids are in bed and the wife is at the in-laws? Welcome to the world of "M" rated Wii games. Will they sell more copies than their PS3/360 counterparts? Probably not. Will they make more profit for the software companies? Absolutely!
I think a lot of people are misinterpreting my comment. I'm not suggesting that a bunch of PS3/360 owners are going to go and start robbing a chain of banks so they can play more games or anything, however the Wii's demographic is mainly the type of gamer who is likely to play games less. If a killer app comes out, will it change that? No. Case in point – Wii Play has sold more than Super Mario Galaxy……is there anyone here who thinks Wii Play was the better game of the two???
Those 20 million people who bought Wii Play are mostly casual gamers, they are also the same kind of gamer who would just as soon not buy a game at all, if they thought money was getting tight. I own a Wii myself and there are only a handful of games on the console that interest me (Which would consist mainly of Super Mario Galaxy, Wii Fit, Super Smash Brothers Brawl and Sonic & The Secret Rings). Whereas i have 22 games for my PS3, not counting the amazing line – up of games coming out for it in 2009.
Those 20 million people who purchased Wii Play wanted an extra controller "for free." The title itself was a lazy effort, no argument there.
This is the point i'm trying to make – if Nintendo were to release a killer app right now, could they count on their "Casual userbase" to throw money at them during theese conditions??? No, the 10 percent of Wii owners that would call themselves "Hardcore" would buy it, the rest would go "Meh.". The same thing cannot be said for Microsoft and Sony's userbase, those two companies know that they'll ALWAYS have a large audience ready – and – waiting to eat up their respective Triple A titles. If you need proof of this, look up how many pre – orders have been recorded for "Killzone 2".
I'm sure Monster Hunter will be a huge success on the Wii, however do you think it will match the market explosion that Final Fantasy XIII (Or, more to the point, the oft – rumoured Final Fantasy VII remake) will have? Not a chance.
On the subject of multi – platform 18 rated titles. This brings me back to the userbase of the three consoles. The families who bought the Wii for their kids aren't likely to go out and buy a game where you have to blow peoples heads off to earn some quick cash, so unfortunately that rules out at least 50% of the Wii's userbase automatically. Secondly, most "Hardcore" gamers who own a Wii would also own a 360/PS3 and i don't think many of them would choose the Wii version over the version on their other console. If GTA: V was released simultaneously for the PS3/Wii i would go out and get the PS3 version without even thinking about it and i'm sure most other multi – console owners would do the same.
The Wii's main attraction will always be it's exclusive games, it's exclusive games are attracting more casual gamers then they are hardcore gamers. Did you notice how quickly some people who had never even played games before instantly ran out and bought a Wii??? Those same people can be put off the console just as quickly and judging by the latest hardware trends in Japan, that's exactly what's happening.
Nintendo will have to work to keep the casual base satisfied. I think what's great for hardcore gamers is that developers like Nintendo could keep churning out the games for causal gamers to make money… then use that money to make a really GREAT game for us.
Bottom line is that the U.S. is not Japan. Planning and thinking what if based on what's happened in Japan is fine but I think Nintendo has shown that they know how to market correctly in the U.S. as well as Europe- and differently than in Asia.
Nintendo COULD take the money they've made and spend it making an awesome AAA experience for their hardcore userbase……however it looks like they've decided against that idea, at least for the moment. As far as i'm concerned, the last AAA title to hit the Wii was "Super Smash Brothers Brawl" and that was released nearly a whole year ago.
I completely agree with you about the US situation, though. The Nintendo Wii is performing consistently well in America with no signs of slowing down anytime soon. Then again, they say that Japan is 5 years ahead of the rest of the world when it comes to technology…….maybe they've noticed something American gamer's haven't :P
Also, i don't really know what third – party support has to do with a console being immune to the economy but, if anyone's interested to know, EA, Konami, Take – Two and Ubisoft's recent fiscal reports clearly show they make more money off of PS3 game sales than any other console currently in existence.
Finally…….can someone do something about the severe limit on our comments? :P
Hey David, I'll look into the character limit on comments – really loving your intelligent contributions.