wraggster
January 17th, 2014, 23:23
Nintendo is doing plenty of soul-searching in light of its recent abject commercial performance.
On Friday, the company slashed its annual Wii U sales forecast (http://www.computerandvideogames.com/445740/nintendo-to-post-annual-loss-on-weak-wii-u-and-3ds-sales/) from 9 million to 2.8 million units - a dramatic reduction that it expects will swing its full-year results from profit to loss.
http://cdn.medialib.computerandvideogames.com/screens/dir_3006/image_300634_460.jpg (http://www.computerandvideogames.com/viewer.php?id=300634&mode=article)"We cannot continue a business without winning," Iwata said on Friday during a press conference attended by Bloomberg (http://www.bloomberg.com/news/2014-01-17/nintendo-forecasts-net-loss-on-stagnating-sales-of-wii-u-games.html). "We must take a sceptical approach whether we can still simply make game players, offer them in the same way as in the past for 20,000 yen or 30,000 yen, and sell titles for a couple of thousand yen each.
"We are thinking about a new business structure," Iwata added. "Given the expansion of smart devices, we are naturally studying how smart devices can be used to grow the game-player business. It's not as simple as enabling Mario to move on a smartphone."
Investors and analysts have urged Nintendo to broaden its horizons and boost profits by embracing smartphones on multiple occasions over the past few years, but Iwata has always insisted (http://www.computerandvideogames.com/318949/nintendo-absolutely-not-considering-making-mobile-games/) that his responsibility is to plan for the long term, not simply to make a quick buck.
Iwata also said today (http://www.computerandvideogames.com/445803/i-wont-resign-says-iwata/) that there are no current plans to reshuffle Nintendo's management team, and that any announcement regarding potential pay cuts will be made when the company posts its third-quarter financial results in late January.
http://www.computerandvideogames.com/445870/nintendo-thinking-about-a-new-business-structure/
On Friday, the company slashed its annual Wii U sales forecast (http://www.computerandvideogames.com/445740/nintendo-to-post-annual-loss-on-weak-wii-u-and-3ds-sales/) from 9 million to 2.8 million units - a dramatic reduction that it expects will swing its full-year results from profit to loss.
http://cdn.medialib.computerandvideogames.com/screens/dir_3006/image_300634_460.jpg (http://www.computerandvideogames.com/viewer.php?id=300634&mode=article)"We cannot continue a business without winning," Iwata said on Friday during a press conference attended by Bloomberg (http://www.bloomberg.com/news/2014-01-17/nintendo-forecasts-net-loss-on-stagnating-sales-of-wii-u-games.html). "We must take a sceptical approach whether we can still simply make game players, offer them in the same way as in the past for 20,000 yen or 30,000 yen, and sell titles for a couple of thousand yen each.
"We are thinking about a new business structure," Iwata added. "Given the expansion of smart devices, we are naturally studying how smart devices can be used to grow the game-player business. It's not as simple as enabling Mario to move on a smartphone."
Investors and analysts have urged Nintendo to broaden its horizons and boost profits by embracing smartphones on multiple occasions over the past few years, but Iwata has always insisted (http://www.computerandvideogames.com/318949/nintendo-absolutely-not-considering-making-mobile-games/) that his responsibility is to plan for the long term, not simply to make a quick buck.
Iwata also said today (http://www.computerandvideogames.com/445803/i-wont-resign-says-iwata/) that there are no current plans to reshuffle Nintendo's management team, and that any announcement regarding potential pay cuts will be made when the company posts its third-quarter financial results in late January.
http://www.computerandvideogames.com/445870/nintendo-thinking-about-a-new-business-structure/