This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Nintendo Focuses on Fun

So, what we are focusing upon is not only the current gamers, but also those who are not playing with video games at all. That is our goal, so that's why we are not caring so much about our competition with Sony or with Microsoft. We do not care if we can beat Sony or if we can beat Microsoft or if we can win in the current market-share battle in the same arena at all. That's not our focus. Our focus is whether or not we can increase the game population.

The history of the game industry suggests that no more than one console maker can be successful in any one cycle. Is there room now for three players, given the point you've repeatedly made about the lack of growth in the number of gamers out there?

If the industry is unable to grow any farther than this, and if all the players in this video-game industry are simply looking in the same direction in trying to compete with each other on the same battlefield, there may be too much to exist, especially in the long run. However, as I've said, Nintendo is trying to take a significantly different course from the others. So that at least as long as Nintendo is concerned, I'm confident enough Nintendo can survive.

Given Nintendo's focus on trying to attract new or lapsed gamers to the industry, I thought it was surprising that you showcased Red Steel at your media event . Not only does that title seem geared to the core gamer audience, but to me, the choppy graphics of the game highlighted the Wii's weakness vs. Sony and Microsoft new high-definition consoles. What was the thinking there?

Well, if we had not shown the Legend of Zelda game or if we had not shown the Red Steel game during the briefing yesterday, then I'm afraid that people might have misunderstood Nintendo's thinking . If all they had seen was Wii Sports or something like that, people would say, "Oh, Nintendo has already lost interest toward the games for the serious gamer." The fact of the matter is it's not the case.

By taking advantage of the unique controller and very unique play style of Wii, we will not only invite the newcomers but also excite the existing gamers. Now that's the kind of message we really wanted to deliver.

There's a lot of buzz in the industry right now about developing ancillary revenue from in-game advertising or episodic content. You've been around the industry for a long time. What is your sense on if and when those become important to the industry? And are they an important part of Nintendo's Wii strategy?

Satoru Iwata

Currently, time is running very, very fast ... so that anything can become all the fashion very fast, faster than in the past. So, in the video-game industry, we believe it's important for ... software to be fresh every day.

That is one of the reasons why Nintendo is now introducing the WiiConnect24 online mechanism for the Wii. In other words, 24 hours a day, we can always be connected with the Internet, thereby people, before they know it, can actually receive something new all the time.

You can take it that we are actually trying to satisfy the needs of the customer. They want software that can be fresh and new almost every day.

2 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
MSFT $40.66 -0.74%
SNE $26.78 -1.14%
AAPL $124.43 -1.54%
FB $82.22 -1.18%
GOOG $548.00 -0.73%


DOW 17,776.12 -200.19 -1.11%
S&P 500 2,067.89 -18.35 -0.88%
NASDAQ 4,900.8850 -46.5560 -0.94%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs