Nintendo says it remains committed to releasing Wii U and Nintendo 3DS titles while the NX has launched. Obviously I wouldn’t expect the period to happen for too long, but it should be for the first few months. Nintendo president Satoru Iwata says that the company wants to satisfy those that purchased the Wii U to what he says is “the maximum extent possible.”
“Regarding your concern about what will happen to Wii U or what will happen to Nintendo 3DS, NX is a new platform, so the installed base will have to be built up from zero. When NX is launched, there already will be a certain volume of Nintendo 3DS and Wii U hardware widely existing in the market, so from a software business perspective, it would be highly inefficient to stop releasing titles for Nintendo 3DS or Wii U right after the launch of NX.”
“Therefore, while we are preparing NX for the future, we are discussing within our internal development teams as well as with the second-party developers we co-develop software with and also with third-party software publishers about how to continue creating software for Wii U and Nintendo 3DS. So, I believe that your point of concern should not happen immediately. As for Wii U, we will continue to make efforts, as it is a priority within the company to think about how we can satisfy the consumers who purchased this system to the maximum extent possible.”
The long-awaited sequel to Project X Zone has sadly been delayed until early 2016 in Europe. I’m not entirely sure what this means for those of you in the United States as the game might be delayed there too. I will update the post once I hear something. With the bad news out-of-the-way, Bandai Namco has released a brand new action-packed trailer for Project X Zone 2 which you can watch, below.
Nintendo president Satoru Iwata has outlined the company’s strategy when it comes down to the mobile titles they will be releasing later this year. The actual quote is rather big, so thankfully Nirolak from NeoGAF bullet pointed the main extracts that you need to know. From the sounds of it they are looking to mainly build free-to-start games which are essentially free-to-play games. The reason why they have adopted this model is because they feel that paid games don’t do as well as free-to-play, which is true. Anyway, here’s what Iwata had to say.
- They’re not ruling out paid apps, but they sound vastly more interested in f2p apps (which they prefer to call “free-to-start”) because paid apps don’t do very well on mobile and sell for a very small prices.
- Their monetization strategy for f2p games appears to be aiming for a high monetization rate (as in the percentage of people spending money), but getting less per individual user. This is a more common strategy you see on PC with games like Hearthstone, where the goal is to get 10%+ of your audience to buy an expansion for $25 every 4-6 months instead of 0.5% of your audience to spend $800 a month. I use Hearthstone as an example since it’s also successful on mobile. MOBAs are another example of how this is done in a different genre.
- Like most successful mobile games, Nintendo’s games will be continually updated services that get new content every so often.
“We use the term “free-to-start,” as this term more aptly describes that at the beginning you can start to play for free. And, the fact of the matter is, game software with a one-time payment system has not been doing a great job on smart devices. Because there are so many competitors making smart device applications, there is fierce competition and the pressure to lower prices. As a result of this competition to discount products, smart device game applications are being sold at far lower prices than the ones for dedicated video game systems. I think some of you would have seen such campaigns as “90 percent discount for smart device applications” in the shops on your smart devices. Because it is a digital product, it does not require transportation fees nor other constant expenses necessary for packaged software, and some may think it is good if it sells (even at a low price point), but once the value of a software title decreases, it can never be increased again. Since Nintendo wants to cherish the value of software, there will be a limit to how low of a price we might want to attach to our game applications for smart devices. The price of our game applications on smart devices will be compared with the prices of other smart device game applications. We believe we should not limit our payment system only to one-time payments, even though this is not something that we can announce as a general principle because different payment systems suit different kinds of software.”
“Regarding your question about the target audience, we are trying to make applications that appeal to a wide variety of people so that the games can receive payments widely but shallowly from each consumer. In other words, even if a consumer makes a relatively small payment, because of the large consumer base, the game can generate big revenue. This is the business model we would like to realize. I think the shareholder has just asked these questions partially because he is concerned that Nintendo might shift to the notorious business model that asks a small number of people to pay excessive amounts of money and that Nintendo’s brand image might be hurt. Please understand that Nintendo will make its proposals by taking into consideration what Nintendo really should do with this new challenge.”
“On a different note, we are not planning to release many game applications from this year (when our first smart device application will be released) to the next. The reason for this is that software for dedicated game systems is considered a “product” that tends to produce the strongest and most fresh impact on the world at the time of its release into the market but its impact can be lost gradually as time goes by. With that analogy, smart device applications have a strong aspect of “service.” Even though the initial number of players tends to be small, those who have played invite others to play too, and as the total number of the players gradually increases, so does the revenue. This, however, means that the release of the game does not mark the end of its development. If the game cannot offer services that evolve even on a daily basis, it cannot entertain consumers over the long term. Accordingly, we would like to spend sufficient time on the service aspect of each title, and we would like to grow each one of our small number of game applications with the objectives that I just mentioned.”
We’ve finally got hold of the Nintendo Investor Q&A which is now available to read in English, rather than Japanese. What everyone is interested in is the NX, which is Nintendo’s next generation platform. Iwata says a fair bit about the console without actually revealing very much. One of the interesting things is that he believes the NX will surprise and delight consumers and also uses the word “magic”. No doubt the system will be unlike one we’ve ever seen before.
“Since the word “NX” has been mentioned, please let me elaborate. When Nintendo announced the collaboration with DeNA on March 17 of this year, I mentioned that Nintendo is currently developing a new dedicated video game system codenamed “NX.” The reason I mentioned this was, at that time, there were more than a certain number of people that thought that Nintendo would give up on the dedicated game system business and concentrate on smart device application development, or that Nintendo should take that path. In addition, such tone could be seen frequently through the media. I felt it was necessary to communicate that Nintendo is not pessimistic about the future of the dedicated game system business but rather more and more eager to continue it. On the other hand, details on the new platform essentially should come later. This is because the entertainment business has an aspect where there is value in surprising consumers. It is not convincing enough to the consumer if we describe how the magic works before actually showing it to them and then expecting them to be surprised or delighted. Having the element of surprise or doing the unexpected is the premise for introducing new ideas and having them welcomed with surprise. That is why I have been repeatedly saying that the next news on NX will not be announced during 2015 but will be announced in 2016. Nevertheless, since NX has news value, when I am interviewed on various occasions, I am asked about it almost every time. I will not share details on NX today but with regard to the launch of Nintendo 3DS and Wii U not necessarily having progressed well and not acquiring sufficient support from software publishers, we intend to offer NX through a Nintendo-like solution. Thank you for understanding that we are making various considerations and preparations in order to avoid what happened with the previous generations.”
Wondering which games you will be able to download this week as part of Nintendo’s eShop offerings? Well, Nintendo has revealed that you will be able to purchase the classic Legend of Zelda: Ocarina of Time on the Wii U Virtual Console. Oh, and if you are a fan of the Samurai Warriors then you won’t want to miss Samurai Warriors Chronicles 3 on the Nintendo 3DS. Here’s the games that are available to download this week on the Wii U and Nintendo 3DS eShop.
- NintendoeShop on Nintendo3DS
- Samurai Warriors Chronicles 3 – Developed to celebrate the franchise’s 10-year anniversary, Samurai Warriors Chronicles 3 incorporates the best features from previous Samurai Warriors games, including the detailed customization mode and battle system of Samurai Warriors 4, as well as the Challenge Mode, which tests players’ speed and efficiency as they fight against the clock and thousands of enemies simultaneously. Play as either a uniquely customized character or one of the much-loved, historically inspired Samurai. Stories and lives unfold in multiple ways, offering numerous resolutions to large-scale battles and multiple endings affected by the players’ choices, actions and affiliations.
- NintendoeShop on Wii U
- Roving Rogue – What comes after The End? That’s the question that has dogged humankind’s greatest thinkers for millennia. Where do we go? What happens? Who will be there? The answers are: “a crumbling castle,” “you run and teleport” and “steadfast knights, goblin archers, obsessed ghosts, demented wizards and other dangerous foes.” In Roving Rogue, the multiplayer platforming adventure on the Wii U system, the end is the beginning.
- Virtual Console on Wii U
- The Legend of Zelda: Ocarina of Time – One of the most critically acclaimed games ever made arrives in the Nintendo eShop on Wii U. Set off on a legendary journey to stop Ganondorf, who has plunged Hyrule into darkness. Travel through time as child and adult Link, and experience Hyrule in peace and war to save the world and protect the Triforce. The Legend of Zelda: Ocarina of Time is one of Nintendo’s most epic challenges and tells one of its most touching stories – it’s an absolute must-play for Nintendo fans.
Nintendo eShop Sales:
- NintendoeShop on Wii U
- NintendoeShop on Nintendo3DS
- Splatoon: New Game Mode and Splatfest – Tower Control, a new game mode that finds Inklings riding a tower into the enemy’s base, has been added to Ranked Battle. In addition, the theme for the first Splatoon Splatfest is “Cats or Dogs” and starts July 4. Learn more here: http://splatoon.nintendo.com.
- Code Name: S.T.E.A.M. “Independence” Tournament – See how your Code Name: S.T.E.A.M. squad stacks up online in Nintendo’s Public Tournaments. Top players earn unique titles that are visible online and earn major bragging rights with their friends and around the world. The new “Independence” tournament runs from July 2 to July 6. Opt in via the SpotPass feature for notifications on future tournaments, and click here for more information about multiplayer tournaments. Good luck, agents!
Theme Shop on Nintendo 3DS:
- New themes this week include:
- Ace Attorney: Dual Destinies Mood Matrix
- Ace Attorney: Dual Destinies Court Record
- Ace Attorney Trilogy Pixel Art
- Ace Attorney Trilogy Main Characters
- Pokémon: Mega Charizard Y & Mega Rayquaza
- Pokémon: Eevee Collection: Espeon & Umbreon
Also new this week:
Bandai Namco has revealed the Dragon Ball Z: Extreme Butoden bundle which is available to purchase on October 16th. The bundle is nothing to be sniffed at as it contains a New Nintendo 3DS with Dragon Ball Z: Extreme Butoden pre-installed. You also get exclusive Dragon Ball Z: Extreme Butoden faceplates and a digital SNES game Dragon Ball Z: Super Butoden 2 which is playable on your New Nintendo 3DS. You can check it all out in the image, above.
It seems relatively likely that the Nintendo NX will launch sometime later next year. DigiTimes is reporting that Nintendo is currently requesting that its supply chain partners start pilot production of components for the device in October 2015 at the earliest. The Kyoto based company is apparently looking to release the device in July 2016. The publication also reports that Nintendo is reportedly looking to ship 20 million NX consoles in the first year.
Nintendo reportedly is looking to ship 20 million Nintendo NX in the first year. The shipment volume of Wii U is estimated at two million units in 2015, according to Digitimes Research.
Thanks, Terry W