Wow..some consoles actually make money

[CaptainHowdy]

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No suprise to See Sony first in the 5 year period, but suprisingly, the difference in the money made by them and Nintendo are very close, and it states Nintendos profits have been far more consistant over the time period, I think MS hasnt been in the game long enough to count(and they tend to not mention thier profits in the game industry, shying away more to just mention only total company profits.[/url]

 

[Phil]

I guess the main reason for Nintendo beeing up there is their last generation which certainly wasn't bad and the fact that their 1st party efforts sell quite good compared to Sony's at the time non existing one. Seeing Sony's latest 1st party efforts and the impressive sales + their lead which is growing by the day, I do think that Nintendo will be making less profit over the next 5 years compared to Sony. I think hardware wise, the PS2 shouldn't be that much more expensive than a GameCube anymore, or at least after you consider at what price they are selling each.

 

[Ozymandis]

It's easy to make money when you have a monopoly. Just ask Microsoft

 

[Rodéric]

Ozy : Still playing Unreal II ? It takes 2 days to complete AFAIK.

 

[Ozymandis]

Ozy : Still playing Unreal II ? It takes 2 days to complete AFAIK.

Heh actually I just haven't updated my sig in a while. I had to stop playing U2 because my PC just wasn't keeping up. Hopefully I'll be able to upgrade next month and then go back to the game. It wasn't really that great anyways though

Right now I'm not really playing anything steadily. Xenosaga comes out tomorrow though, and I might pick up Dark Cloud

 

[Qroach]

Nintendo has made tons of money off the GBA. If you removed that from the calculation, then sony wuld hve made MUCH more money than nintendo in the consle biz. Portables is a different story

 

[Johnny Awesome]

http://www.gamerfeed.com/index.php?story=1697

 

[Phil]

"Nintendo is missing out on the current generation of games players, Culturally it will be difficult for the company to change course, but it must do so in order to secure its long-term position as a leading games publisher."

as hard as it may come across, I have always felt that Nintendo is loosing ground and that the future isn't too bright. I wouldn't like to see them go the sega route, but they really should do something about Europe. IMHO it's not looking too good overhere for them.

 

[Geeforcer]

As a console manufacturer, N is loosing ground, but as a gaming company, they could/should not care less. It would be cheaper for N to produce an inexpensive console that they can sell at around break-even as the outlet for their games then have to pay 15%+ royalties to the likes of MS and Sony. Even if future Nintendo console would have 0 third-party games, it would still sell many millions, as would their games. Even if they only control 10% of the market, as long as people are buying Nintendo games they will have their own console

 

[zurich]

As a console manufacturer, N is loosing ground, but as a gaming company, they could/should not care less. It would be cheaper for N to produce an inexpensive console that they can sell at around break-even as the outlet for their games then have to pay 15%+ royalties to the likes of MS and Sony. Even if future Nintendo console would have 0 third-party games, it would still sell many millions, as would their games. Even if they only control 10% of the market, as long as people are buying Nintendo games they will have their own console

Hmmm, who does that remind me of again? Oh yeah! Apple!!

 

[Cyborg]

Seeing Sony's latest 1st party efforts and the impressive sales + their lead which is growing by the day

Thats something sony actually wished.. Other than Grand Turismo, sony has seen more flops than success so far. Even with splendid games such as ICO. ICO, jax & daxter, sly cooper, socom, they've all sold poorly, it sucks since they are good games, but the playstation audience just doesnt seem to care about anything other than GTA, MGS, FF, GT.

 

[iscariot]

SOCOM sold over a million copies in the U.S. at $60. J&D has also sold over a million in the U.S alone and over 250,000 in Japan. R&C is over 300,000 in the U.S whch isnt bad at all, it's only been out a few months.

 

[BenSkywalker]

Do any of you read fiancial reports much? I'll quote the important part-

The report notes that in the past five years, Sony has emerged as the leading force in the video game industry. From fiscal 1995 to fiscal 2002, Sony has reported $36 billion in revenue from video games, compared with $32 billion for Nintendo. On the other hand, Nintendo has reported significantly higher operating income.

It clearly states that Nintendo has reported significantly higher profits then Sony. Total dollar sales is what Sony is leading in. Sure you can say that the GB/GBA is a large factor in that and you'd be right, but they have a significant(the reports words, not mine) edge over Sony in terms of making money right now.

Now I've argued numerous times that MS is making the right choice with their willingness to lose money to gain a foot hold in the console market, but exiting when you are the most profitable company in an industry would be moronic. It is a good thing to make money in the business. I do think N should use a bit of their war chest to increase their agressiveness, but talk of them exiting the ring when they are making money hand over fist seems simply bizzare to me.

 

[Vince]

Now I've argued numerous times that MS is making the right choice with their willingness to lose money to gain a foot hold in the console market

I agree thats the correct card to play - as they're starting from zero and it's basically their only card to play. I disagree with it's long-term effectiveness, but you're correct.

I do think N should use a bit of their war chest to increase their agressiveness, but talk of them exiting the ring when they are making money hand over fist seems simply bizzare to me.

See, this is where I'm not so sure and I'm to lazy to invest the time to think it out. The capital investment in the NGConsoles is probobly in the low single digit billions when all is said and done on R&D alone between all the facets of the Console. When you factor in the IP and the inter-related technologies that will factor in, mutually exist, and spin-off - this figure could quite possibly accelerate north of the $50B level.

I don't know if Nintendo has the ability to compete and win. And why should they when they're rick off GBxx.

PS. The Getaway is selling extremely strong aswell in the US after taking the top spot in the UK.

 

[Blade]

Vince: Heh, funny thing that The Getaway is probably the worst among Sony games listed in this thread..

I'd like to see Nintendo dig into their liquid cash during/after this generation, and put out the best console (technologically) with solid 3rd-party exclusives. One of the problems with the GameCube IMO is that it's the middle man.

Not quite as powerful as Xbox and not quite as popular as PS2. Fewer AAA 3rd-party exclusives, efficient but very conservative technology. If they had the price at $300 during launch, they could have upgraded the hardware and added a HDD/modem. The smaller discs are okay, IMHO, but at this point I'd say HDD/modem are essential.

 

[Johnny Awesome]

The problem I see is that Nintendo hardware to sell Nintendo games only lasts as a viable business model when Nintendo software is viewed as being clearly superior. That advantage is eroding rather quickly I would say.

I know I sound like a broken record, but there will come a day when people will be fine with Rayman as a substitue for Mario or Perfect Dark as a substitute for Metroid, and so on...

We're getting to a point where presentation is going to matter a lot more than gameplay, simply because most gameplay will have been invented and perfected. Gameplay is Nintendo's strong suit, but going to get to a point where "it's all been done".

Nintendo is going to have problems in a GTA, Halo, MGS, online world that they didn't have in the Mario, Sonic, SSB, Metroid world.

Casual gamers are fine with their Cubes to play Metroid Prime and Zelda, as long as they still get to play Madden and Tony Hawk. Take those away and Nintendo hardware is a lot less attractive to single console owners. They'll go buy a PS2 to play Madden and Tony Hawk if they have to and settle for SOCOM, R&C, and ICO without shedding too many tears.

Diehard fans of any company are dying breed. Sega found this out and Nintendo will eventually as well.

 

[Blade]

Wow, a mostly intelligent post from Johnny Awesome. I'm shocked! Sure, it whispers "Nintendo is going down" in our ears.. but at least it makes some sense. Congratulations, Johnny.. you've finally come through for us with a solid post! *claps*

Don't go spoiling it by mentioning dual-analog Super Mario Sunshine again! Anyways..

The problem I see is that Nintendo hardware to sell Nintendo games only lasts as a viable business model when Nintendo software is viewed as being clearly superior. That advantage is eroding rather quickly I would say.

Nintendo is still as good IMO, Sony is catching up. "You would say", I would say otherwise but you're somewhat right IMO. If developers copy Nintendo (or any AAA developer) enough, they'll eventually be able to replicate them in certain ways.

know I sound like a broken record, but there will come a day when people will be fine with Rayman as a substitue for Mario or Perfect Dark as a substitute for Metroid, and so on...

This day has come, many years ago actually. It's called diversity in gaming.

Just because I play Halo doesn't mean I can't also play Quake. Rayman (for the most part) is an awesome platforming series. If you limited yourself to one platforming series, it would be a good choice to pick Rayman over Mario if that tickles your fancy. Me, if I was stranded on a desert island with only one choice I'd probably take Mario games since I usually love 'em.

We're getting to a point where presentation is going to matter a lot more than gameplay, simply because most gameplay will have been invented and perfected. Gameplay is Nintendo's strong suit, but going to get to a point where "it's all been done".

It's going to take an awfully long time for this event to occur. Until then (if "then" ever occurs) presentation is important but gameplay is key, in my book. Kinda like how graphics and audio are important but not key.

Nintendo is going to have problems in a GTA, Halo, MGS, online world that they didn't have in the Mario, Sonic, SSB, Metroid world.

Are you trying to tell me that Metroid Prime doesn't have a good presentation.. or that Halo has far superior gameplay to *insert Nintendo/Sega game here*? Nintendo is going online. This paragraph of yours confuses me, Johnny.

We're almost getting back into "MP needs dual-analog or else it sucks" mode here.

Casual gamers are fine with their Cubes to play Metroid Prime and Zelda, as long as they still get to play Madden and Tony Hawk. Take those away and Nintendo hardware is a lot less attractive to single console owners. They'll go buy a PS2 to play Madden and Tony Hawk if they have to and settle for SOCOM, R&C, and ICO without shedding too many tears

I'll definitely agree with you here, for the most part. The thing is.. Madden and Tony Hawk sell well on GCN..

Diehard fans of any company are a dying breed. Sega found this out and Nintendo will eventually as well.

Could you rephrase this? I'll be a diehard fan as long as they keep delivering like they have..

 

[Phil]

Not quite as powerful as Xbox and not quite as popular as PS2. Fewer AAA 3rd-party exclusives, efficient but very conservative technology. If they had the price at $300 during launch, they could have upgraded the hardware and added a HDD/modem. The smaller discs are okay, IMHO, but at this point I'd say HDD/modem are essential.

Blade,

Even with a $300 price tag, the HDD and modem, I doubt GameCube would have done any better. What GameCube is lacking is clearly software and the necessary dedication and agressiveness (in Europe for example). As it seems, gamers buy Nintendo for 1st/2nd party games and some exclusives here and there. I don't see a GameCube with HDD/modem changing that. If you consider that, I think Nintendo did a clever thing by bringing out a cost-effective console that at least makes profit despite lacking sales in all territories.

 

[Legion]

I don't know if i would call that clever. I believe wise is a much better word.

 

[Johnny Awesome]

Blade, I'm talking mainly about presentation here. (I won't bring up the control issues right now, because they probably had little to do with sales). Mario has really poor presentation - bad story, goofy cinematics, fruity premise and so on. Metroid Prime forces you to read the story essentially, and constantly scanning objects although innovative, is probably not what casual gamers would prefer.

I know that gameplay is key. It's number one for sure, by far. My point is merely that everyone will simply copy Nintendo on that point and/or get just as good at innovating in this area. When you look at the newer hit franchises over the last two years - Halo, GTA, Splinter Cell, none of them were from Nintendo.

Nintendo's attempt at creating new franchises - Eternal Darkness for instance, have failed on the Gamecube unfortunately. They can't keep relying on the past, especially when the industry is moving away from cartoon graphics and fruity themes. Casual gamers were OK with these Nintendo quirks as long as the gameplay was clearly superior, but that gap is closing and Nintendo isn't getting better at presentation as fast as Sony, MS, and 3rd parties are at perfecting gameplay.