http://www.1up.com/article2/0,2053,1562480,00.aspNintendo has recently established a special fund with an eye towards mergers and acquisitions, Japanese business publication Toyou Keizai Shinpousha reports. While the exact amount of money set aside isn't clear, it's dedicated to the potential acquisition of other companies.
The fund is reportedly to be directed towards acquiring technological resources that Nintendo doesn't yet possess. Other companies with more diverse holdings, like Sony, have been able to develop and manufacture hardware technologies in-house in this generation, or through partnerships with other companies. Nintendo, by comparison, relied on IBM and ATI for the primary components of the GameCube, so Toyou Keizai proposes that Nintendo may be looking to expand its in-house hardware development capability.
Nintendo has also been reaching out to more independent developers of late, however -- Kuju Entertainment, N-Space, and others -- so expanding its internal software development effort could be a priority as well, in the face of its plans to debut a third hardware platform at the end of this year.
Nintendo has considerable amounts of cash on hand. Even after adjusting its expectations downward, it still expects to turn a profit of more than $300 million for the recently-concluded fiscal year, which is a drop in the bucket of approximately $6.2 billion in liquid assets listed in its September 30, 2003 financial report. It would take a fairly significant shopping spree to put a dent in Nintendo's war chest.
Sonic said:You know Clashman I really never thought about the sports games that SEGA offers as being a benefit to Nintendo. But you are right, that would be quite an added bonus. Overall though I think it would be a bad idea for Nintendo as that would probably end up scaring all 3rd parties away unless Nintendo became the #1 console company again.
Teasy said:And for that money they would have filled the gaps in there lineup with top exclusive sports, fighting and racing games. Money very well spent IMO.
zurich said:Instead of focusing on big glamorous acquisitions, it's much more likely this fund is developed to purchase 'hot, fresh, new, and cheap' studios, like Retro and others.
Clashman said:zurich said:Instead of focusing on big glamorous acquisitions, it's much more likely this fund is developed to purchase 'hot, fresh, new, and cheap' studios, like Retro and others.
True, and if it is used to address some of the holes in their lineup, then I would say it's a good investment.
Still, it's fun to fantasize. I mean, come on, Sonic and Mario would rock!
Sonic said:You know what? Nintendo should buy a big chunk of EA (Is EA publicly traded?) and reap the profits from them. Not all of EA, just enough to sway the decision making process some. It would be a good way for Nintendo to get very enthusiastic 3rd party support from EA.
Teasy, is the PGR series even owned by BC? I thought it was a MS property.
Teasy, is the PGR series even owned by BC? I thought it was a MS property.
Teasy said:Teasy, is the PGR series even owned by BC? I thought it was a MS property.
Project Gotham was originally started as a PS2 game. So unless MS bought the series from Bizarre Creations and paid them to develop an XBox version then I think BC still own it. I'm pretty sure that BC themselves aren't owned by MS. They certainly weren't right upto early 2003 anyway and I haven't heard any different since then.