Nintendo Buzz Likely a Bust for Game Makers

A similar dynamic may be shaping up in the home console market. Sony got the early buzz last year when it showed off its upcoming sophisticated game machine, the PlayStation 3. But that attention and excitement shifted to the Wii this spring.

Not only will the Wii likely carry a price less than half that of the PlayStation 3 and more than $100 less than Microsoft's Xbox 360, but also Nintendo's focus on making games fun -- most notably through an innovative new controller -- drew rave reviews.

This coming holiday season, the Wii could have all the makings of a success: It has the buzz, and its price could make it a clear winner if consumer spending tightens amid rising oil prices and interest rates.

Wii likely will be the only game console on the market with a bona fide must-have title, the long-awaited next installment in the hit Zelda series: The Legend of Zelda: Twilight Princess.

"The Wii has very strong potential to be the first-place platform" this console cycle, says David Cole, an industry analyst with DFC Intelligence.

In the short run, that's not great news for the publishers. Though game makers have been spending millions of dollars investing in games for next-generation consoles, much of their efforts have been devoted to the PlayStation 3 and the Xbox 360 -- not the Wii.

Midway Games (MWY Quote) had little in the works for the Wii until recently, says Miguel Iribarren, the publisher's vice president of publishing.

Much of that had to do with Nintendo keeping news on the Wii fairly quiet until around E3, he says.

"We didn't have the information to work off of," Iribarren says. "I think everyone pushed [Wii development] to the back burner till they got the information on the machine itself and the business model."