Hello, Nintendo
Since Nintendo launched the 2DS, there has been lots of talk over the future of the company and how it should move forward in a world full of smartphones and tablets, all pining for the attention and adoration of the world’s young people. As it stands, it appears that post-PC devices are winning that fight. But it doesn’t mean Nintendo is out of the game
John Gruber argues that Nintendo should join them, since they can’t beat them:
The future of portable gaming is clearly on post-PC computing platforms. (The future of living room gaming may well rest on these platforms, too.) A dedicated camera takes better photographs. A Mac or Windows laptop is far more powerful for numerous computing tasks. A simple dumb phone will last for a month on a single charge. An iPod makes for a lighter weight, more durable music player. Yet all these things are losing sales to iOS and Android post-PC devices. DS-style handheld gaming platforms are no different, and perhaps in a worse situation than the others. Priced for the low-end (like the upcoming 2DS) and they pale in terms of graphics. Compete on graphics and they pale in terms of price compared to carrier-subsidized phones.
Other arguments suggest Nintendo should stay the course, citing its ability to consistently survive threats from powerful opponents all by itself.
John Siracusa has made the best argument for this option:
The game software business is tough. It’s hit-driven, like Hollywood. Most games lose money or break even. A few big winners fund all the others—if you’re lucky. A game development studio going out of business shortly after releasing a critically acclaimed game is not unheard of. (Hell, the best game released last *year bankrupted its developer.)
Consolidation is rampant in game development. Small players are routinely snatched up by behemoths that have a better capacity to absorb the inevitable losses that come with games that are not monster sales successes.
This is not a world that Nintendo should aspire to enter. Better to stick with hardware platforms that it controls, profiting from both the hardware sales and the fees collected from third-party games sold on its platforms. That’s the kind of steady (and potentially enormous) income that will keep Nintendo afloat as it works on the next big thing.
Both are excellent arguments, but all the talk has left me thinking one thing: I kind of really want to buy a Nintendo 2DS, maybe. I never cared for the 3D, I think it looks great, it features a bazillion games, several that I wouldn’t mind playing, and it’s almost priced right ($99 would have sealed the deal).
Any talk, be it positive or negative about Nintendo and its situation, is good for Nintendo. Perhaps that in some way confirms both sides of the argument.
It’s great that the great tech minds are debating Nintendo, because before the debate began, I hadn’t thought about buying its handheld for at least 2 years. Now, it’s at the very least on my radar.
The problem is, only the great tech pundits are postulating the decisions of Nintendo, not the mainstream.
If Nintendo can cross that divide, I think they’ll weather the storm and strike it big again, like Siracusa says. If not, as Gruber says, perhaps it’s best to “join em”.