The software industry’s key player Nintendo has been showing signs of struggle in the past few weeks. Nintendo as of recent, is at a net loss of 925 million dollars (70.3 billion yen). The two main factors in this fall are the newfound strength in the yen, and weak software sales. The two have really put Nintendo in a hole, and they have had to cut millions in their forecast for next year. The decline in Nintendo software sales can be traced partially to the app craze with the iPhone. Nintendo, which has always marketed toward a casual gamer, now faces over 25,000 games in the Mac App Store. Nintendo’s 3DS which was released in March has also brought bad results, as its 3D technology fell below most expectations. Now Nintendo must brace itself as Sony plans to release a new console to rival the 3DS.
I found this article to be important simply because it deals with the one of the biggest software companies out there. Nintendo also hits home with me as I grew up with many Nintendo products. It is interesting to see how the software giant is starting to finally decline, and it will be interesting to see what Nintendo does to try and bounce back.
http://www.tuaw.com/2010/03/09/ebooks-outnumber-games-in-the-app-store/
It is quite fascinating to see how technology impacts different companies in the industry. I would like to see what innovative strategies Nintendo will try to use in order survive.
ReplyDeletePersonally, I don't think Nintendo will be able to continue to compete in this industry. Apple is making it easier and more convenient to play similar, if not the same games using portable IDevices.
ReplyDeleteNintendo struggled after the Wii lost it's popularity. With Sony and Microsoft continuing to advance their products (PS3, Xbox) Nintendo could soon be left behind.
ReplyDelete