Nintendo president Satoru Iwata has told shareholders that he is taking a 50% pay cut due to lackluster sales of the Nintendo 3DS. It’s not just Iwata who is taking a pay cut as some representative directors are taking a 30 percent cut, and other executives are taking a 20 percent cut. Just to give some perspective Satoru Iwata currently makes the equivalent of around US $2 million. Shigeru Miyamoto earns around $1.2 million.
“For cuts in fixed salaries, I’m taking a fifty percent cut, other representative directors are taking a 30 percent cut, and other execs are taking a 20 percent cut.”
Well, how much of their income is fixed? I’ll bet people like Miyamoto has a smaller fixed salary, and makes a ton of money on commissions. If it is okay to mention that in the post, to clear things up, I’d be greatful.
I’ve added information about their salary’s. I’m afraid I don’t know much more than that with regards to how much Nintendo employees are currently paid.
Okay, thanks. That’s definitely helpful.
OUCH! well with the 3DS price cut, money will come flying in. granted, they have more games. holiday 2011 the 3DS will soar!
Wow! I’ve never seen such dedication. This how’s me how serious Nintendo is about gaming. You’ll never see Sony or Microsoft doing this.
…because none of their systems have tanked
Um, PSP??? My gosh pay attention
The PSP has not tanked in the slightest in Japan. My gosh pay attention!
Well none of Nintendo’s has either. Except Virtual Boy.
If you count the GC, then the Xbox tanked.
In fact if you go purely by financials, the Xbox in general has yet to make one red cent for MS, and the PS3 has erased a decade of dominance from Sony and has actually put Sony into the hole as far as video games business is concerned.
Ok, I agree with the entire sony part (mainly cuz i hate them), but both the PS2 and the Xbox outsold the gamecube, and microsoft made up with wildly sucessful console exclusive games
Um… Microsoft has been making a profit on the XBOX brand for years now…
Do some research.
Math time, if you lose 9 billion dollars in 7 years, but only make 3 billion in two years, that leaves you with how many dollars?
It doesn’t matter how much money MS has made RECENTLY if they are still in the hole. Just like it really doesn’t matter if Nintendo has “lost” (in terms of PROFIT losses) if they made 9 billion in the last 5 years.
And yeah, the Xbox did outsell the Gamecube… by about 2 or 3 million. The Xbox itself had basically the same install base. Yet somehow people will say the GC flopped and the Xbox was some runaway success,
I loved my 2 Gamecubes! I still have them!
..and the PS3 digging Sony a 5 billion dollar hole. The only reason Kaz Kirai didn’t take a paycut is because Sony has so many other points of income.
Sony and Microsoft have had no reason to…
“Um… Microsoft has been making a profit on the XBOX brand for years now…
Do some research”
They Only started making money last year, due to wii’s declining sales and the red ring of death really took a toll on them.
Ouch, that seems a little harsh.
Again, though, I’m wondering if Iwata and Miyamoto make a relatively small fixed salary, and make a ton of commission. If so, a fixed salary cut wouldn’t affect them too badly, and if sales are good, or even better then in past years, they could keep up their salary like normal, theoretically, of course.
I’m not sure how much I like this news
I don`t think that NIntendo made the right choice when he decided to launch the 3DS, I mean, it`s just a DS with a 3D effect plus better graphics, I personaly don`t think that this was as amazing compared to when he announced the Wii or the DS the first time.
Consoles are supposed to be innovative, I think that the 3DS was just and upgrade of the DS, that means, going to steps forward and three steps backwards
I don’t buy this argument. You say “consoles are supposed to be innovative”. We look at innovative consoles, ONLY Nintendo makes anything remotely innovative. Nintendo is the one that made you believe that consoles are supposed to be innovative, and they’re the only ones actually trying to do that. Microsoft and Sony only push out consoles with graphical updates.
Why can’t I “like” a comment in WordPress? Beautifully said there Brooke. Nintendo is the prime innovators, and Sony and Microsoft come back 3 years later with the same technology, slightly updated, while Nintendo is busy doing more innovating. =D
I completely agree with you, that`s why I think that Nintendo didn`t make an effort trying something new. Sony and Microsoft just push graphics, as you said, Nintendo kinda followed that path with the 3DS, something I wasn`t hoping. I think that the 3DS haven`t sold a lot of unit because it`s just an upgrade, I mean, If you played DS, you HAVE played the 3DS… That`s why the VITA is kinda winning (not that I like that fact tough, `cause I`m a Nintendo Fan!)
” I mean, If you played DS, you HAVE played the 3DS…”
That’s not even almost true.
Also, isn’t the Vita just essentially a PSP with better graphics and touch options? :P
But that`s innovation to Sony.. not to the Mighty Nintendo…
Then why does that make the Vita better than the 3DS? Because it’s Sony and we should expect less?
Vita hasnt even been sold yet, for all we know it’ll sell 5,000 a month
well said brooke!
“I mean, it’s just a DS with a 3D effect plus better graphics.”
And a PS3 is just a PS2 with better graphics! Same with the 360 and the Xbox ;D
Of course Magma, You hope that Microsoft and Sony to follow the same path they were following the past two generations, You hope that Nintendo brings some fresh air in the gaming world, that`s why I don`t think that the 3DS was the best Idea for a next gen portable console…
Well, if this statement was completely true, Sony and Microsoft wouldn’t be as big in the gaming industry. Online integration is what makes these consoles good, graphics are just a side feature. Also, I’m not a fanboy, I just wanted to point out that people would not buy a console that is just a simple upgrade.
Were people really surprised to see that the Xbox had great online capability? I mean, hello, it was made by the same people who made the operating system we all use to access the internet, it seems like a no brainer to add it to their console.
Hopefully, Nintendo will follow suit and offer a robust open online community like Microsoft and Sony on the Wii U.
It’s not just 3D. It has gyroscope and an analog added.
Also some card that works with the camera.
You’re thinking of the iPod.
yes but it hasent used them just shoveling old games but in 3d!
What else do you want the damn thing to do for you, make pancakes and grill bacon? The 3D IS the innovation in the 3DS. It’s the first handheld and mainstream device to have 3D without the use of glasses. That’s innovative. So, the 3DS is effectively a device that is vastly improved upon technically and offers innovation. So your opinion is invalid.
I think he wants it to make pancakes and rub his balls for him.
R.I.P. George Carlin. Greatest comedian of all time.
You’d never see this in America…
Yep, instead employees suffer Mayotte :/
That’s a very, very sad thing too.
I wish i could see this in America. I would be extremely surprised.
I’m impressed about this. That makes me think that they really are losing with the price cut.
Nintendo, thanks for the opportunity to adquire my 3DS at a lower price. This shows me how great you are and what you can do for your costumers.
I feel bad in someway, but I will buy as much games I like as possible. :)
If only companies in America would work like this, or even our Government for that matter
Governments shouldn’t and can’t work like this. They don’t have commodities to sell, and they shouldn’t try. They are here to govern their people, and have the people govern themselves (democracy). Nintendo is a company, a very large company that make a lot of money off of sales. Individuals (theoretically) can take a hit to their fixed income, because in comparison to their commission, it is a small proportion of their overall salary. I don’t know any facts about this, but this is what I suspect.
Government makes money off of our buisness the less buisness the less money…and if they could govern correctly and spend money wisely the economy wouldn’t be as bad as it is today…why can’t governtment officials at least take a pay cut? They make outragous money and than retire in 8 years with a really nice pension and insurance
I do think that their outrageous pension is a problem, the government can’t sell anything to make it all better. A cut on spending won’t just make “the economy” all better anyways. There are parts of “the economy” that the US Government can’t control, though I think they could do a better job cutting their own salaries.
Remember, taxes are something you have to pry from people. If the government didn’t enforce taxes, nobody would pay them.
Lol I’m not going to talk about politics on a nintendo news site….as for what the post is about I think he will be earning his 2 million again by the end of year because I forsee the 3ds selling alot this fall/winter especially with the pricecut
That I agree with. I think the Nintendo executives are going to get their salary at the end of the year if sales are good.
I don’t think the handheld market is as big as Nintendo thinks – as an older gamer with my own stuff, I don’t really wanna play games on a small screen, I want it on my big tv –
The Nintendo DS has sold over 147 million units worldwide. You’re seriously going to tell me the handheld gaming market isn’t big??
Shh, don’t feed the troll.
well I rather play on my small 3D screen
with no 3d glasses required!
You KNOW they mean business when they are willing to take money out of their OWN pockets. I wonder if any small time workers, such as the people working on assembling the 3DS, endured price cuts. Or worse, lay offs. Easterners APPEAR to be so much more noble than us Westerners. Lol.
The folks from nintendo should run the the u.s government because at least they know when sales are down they need to cut costs and make there products more affordable however when the government is making less from tax revenue they want to increase taxes that’s just bad buisness
Thats cause the US Government isn’t a business. They shouldn’t make money of of sales. They don’t operate on what they have to sell. As much as I do agree, pensions are a huge part of where our money is going, the government can’t operate similar to a company.
Very honourable, Nintendo. I’m sad to see this happen but Nintendo will bounce back by the end of the year.
I sure hope so.
I know so.
Nintendo will come back and do better than anyone expects. That’s just how they roll.
Yeah. APPLE WON’T RULE THE HANDHELD MARKET!! NINTENDO WILL STILL DO WELL!! It’s just a hiccup that they had.
^Thank you for writing that in a grammatically correct fashion.
Glad Nintendo executives are so willing to make sacrifices. By the time holidays are over I would’ve handed them half a thousand dollars in sales
Miyamoto, Y U NO get paid the most?
Now that is some serious dedication. I’ll always respect and support Nintendo. I mean come on, chopping down they’re salaries for us fans to have a chance to pick it at a cheaper price. You’ll never see political fags do that
Meanwhile in Sony HQ….
Its fairly obvious why the 3DS has been slow with the movement of consoles. They had no appeal for the consumer base. Nintendo did a horrible job of marketing, and ultimately their launch was poor. Zelda remake helped, but it was a remake, nothing special. If they had launched with Call of Duty, Metal Gear Solid, Assasins Creed, a new Mario, a new Zelda, Final Fantasy, and an appealing game to the casual gamer, PLUS the original release lineup, and marketed with a collage of these games, then they’re a success. But they had no incentive other than 3D. This is a norm though as of late, for Microsoft and Sony have just started making their money back. The Vita is gonna see the same problems, people don’t want to spend three hundred dollars on the systems drop date.
No what really hit people was the price for the 3DS. I knew a bunch of people that wanted it but it was a shad to expensive for what they considered a handheld. Software would have helped more the the hardcore gamer because they had enough casual games. They had too many low brow games. They also should have had all it’s capabilities ready at launch. But the main thing was price, and now it’s at a competitive price so sale will bolster
No, but serisoly. Nintendo could be using the guilt trick to boost sales before the price cut.
My dad did the same thing when the recession reduced his number of clients. This is a great thing for Nintendo to do and if my dad is any indication it will pay off for them, but even with these salary cuts they’re still making more than enough money to live normal upper middle class lives.
Will Reggie or any NOA or NOE executives take a cut?
What I was thinking is that since the 3DS is so cheap now, people could by it to replace their DS since it’s backwards compatible. That way you can play your DS games on your new 3DS and still be ready when new software is released for it.
Perfect idea!!
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