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iOS and Android Grab 58% of U.S. Portable Gaming Revenue

z3r0 said:
Two things could happen:

1) Apple will buy Nintendo or
2) Nintendo starts creating iOS games
Click to expand...

I don't think Apple will buy Nintendo. It would kill their stock price. Apple tends to make strategic buys of small companies to leverage their technology in a grander scheme. Nintendo has too much baggage that does not fit with Apple's road map. Additionally, Apple would then be making games and competing with their developers.

I would not be surprised if Nintendo starts making iOS games -- especially in a deal whereby Apple invests to get Nintendo to port some of their games to iOS (possibly exclusively).


blackpond said:
In most businesses revenue is king.... that chart isn't showing number of downloads...
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The question to be answered is how much of that revenue is revenue taken from Nintendo and Sony versus market expansion. Many of the folks who buy iOS and Android games probably never owned a portable gaming device before.
 
I would never personally want to play a game like Mario or Metroid on iOS. The touchscreen only controls are okay for certain genres, but I don't feel they are responsive enough for a good solid platformer. Specifically I find virtual d-pads to be a lousy substitute for the real thing. And also with Metroid the lack of shoulder buttons would make things more cumbersome.
 
And the real question is not market share here. We know people like cheap time wasting games (something the DS and PSP does not provide) I would rather see has PSP and DS revenue gone done or is iOS and Android going up faster.

If PSP and DS revenue is staying the same or going up that tells us that they are not really effected by this. It just shows people do like quick 5 min time wasting games.
I used to own a GBA and I still call that investment + the games I bought a great investment but it not like i would wipe out my GBA to play a game while I am waiting in line or killing 5 mins-10 mins before class started it. It generally was something I would throw in my bag when I knew I would have to kill a lot of time or just wanted to lay down on the couch and play for a while.

Very different market in terms of games.
 
BC2009 said:
I would not be surprised if Nintendo starts making iOS games -- especially in a deal whereby Apple invests to get Nintendo to port some of their games to iOS (possibly exclusively).
Click to expand...

...and start with porting over all the amazing older catalog for $0.99-$1.99 a pop. Heck, I would think some of the 3rd party Nintendo developers like Capcom would get on this too (unless they're somehow contractually locked into N).


***

I also meant to add in a previous post: another nice perk with downloaded apps and the licensing model, is you can own a game on a few different devices (concurrently), which makes the value proposition on the game side even better.
 
BC2009 said:
The question to be answered is how much of that revenue is revenue taken from Nintendo and Sony versus market expansion. Many of the folks who buy iOS and Android games probably never owned a portable gaming device before.
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That's an excellent point and certainly comes into play.

That said, Nintendo just reported its first loss in 30 years which tends to suggest that market expansion isn't enough to explain it away.

http://www.htlounge.net/art/15817/nintendo’s-loss-for-the-first-six-months-of-2011-923-million.html
 
I think Dizzy is probably right about these numbers not necessarily threatening Sony or Nintendo. A shrinking market share in this case probably means that Sony/Nin are selling just as many games as before, but that suddenly the tens of millions of people who have bought smartphones in the past few years are also buying games. The only real question is whether people buying smartphone games are buying them *instead of* buying Sony/Nintendo games.

I suspect that they are not. Yet.

I don't have a portable gaming system and and am not interested in one. But I've probably spent $50-$100 on games for my iPhone/iPad over the past several years. However, that money was never going to be spent on a portable gaming game, so neither Sony nor Nin are harmed by these expenditures.

I do think that Apple needs to come out with some sort of controller attachment to really cut into Sony/Nin's market - certain games are really hampered by having only a touch screen controller.
 
blackpond said:
That's an excellent point and certainly comes into play.

That said, Nintendo just reported its first loss in 30 years which tends to suggest that market expansion isn't enough to explain it away.

http://www.htlounge.net/art/15817/nintendo’s-loss-for-the-first-six-months-of-2011-923-million.html
Click to expand...

It comes down to money.

No doubt Iwata et al are viewing the same analytics data, and there are . . . questions (to put it lightly.)

If Nintendo does nothing (like they have been) - if no substantial response or re-invention of their business is done by them (and fast), imagine how low the number will be next year.
 
Huge gamer here but I just can't take gaming seriously on a mobile, DS or PSP. I really do think that will change with the PS Vita though. :)
 
This report matches the purchases for my kids.

The PSP/DS hardware for gaming is great, but $40 per game seems WAY too much now that we can buy good iOS games much much cheaper.

My kids are asking for iTunes gift cards for birthdays now. How easy is that?
 
alhedges said:
I think Dizzy is probably right about these numbers not necessarily threatening Sony or Nintendo. A shrinking market share in this case probably means that Sony/Nin are selling just as many games as before, but that suddenly the tens of millions of people who have bought smartphones in the past few years are also buying games. The only real question is whether people buying smartphone games are buying them *instead of* buying Sony/Nintendo games.

I suspect that they are not. Yet.

I don't have a portable gaming system and and am not interested in one. But I've probably spent $50-$100 on games for my iPhone/iPad over the past several years. However, that money was never going to be spent on a portable gaming game, so neither Sony nor Nin are harmed by these expenditures.

I do think that Apple needs to come out with some sort of controller attachment to really cut into Sony/Nin's market - certain games are really hampered by having only a touch screen controller.
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You're probably correct. But you have to admit, they lost out on a fairly obvious market that is booming all around them while they remain stagnant at best - and are losing market share at worst.... that's not a happy picture.

And yes it was obvious... or at least should have been for a company that exists for the purpose of mobile gaming.
 
You guys are fanboys if you think Nintendo is going to go out of business because they don't make games for iOS.

Nintendo will be just fine. People buying 99¢ App Store games were never their customers anyway.
 
What... That's like comparing Nintendo to a football field. They're both used to play games, but not on the same scale.
 
that's cool I guess, theres only a handful of games on iOS or Android that have kept me entertained for more than a few days tho
 
*LTD* said:
It comes down to money.

No doubt Iwata et al are viewing the same analytics data, and there are . . . questions (to put it lightly.)

If Nintendo does nothing (like they have been) - if no substantial response or re-invention of their business is done by them (and fast), imagine how low the number will be next year.
Click to expand...

Exactly. And it's not just because the data is expressed in percentage. In fact, based on the data presented here, Nintendo made 1,842M in 2009, but only 1,179M in 2011; and Sony made 289M in 2009, but only 197M in 2011.
 
tctony said:
You guys are fanboys if you think Nintendo is going to go out of business because they don't make games for iOS.

Nintendo will be just fine. People buying 99¢ App Store games were never their customers anyway.
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I don't think the name-calling is necessary but I agree with you. And I'd even further it slightly by saying some customers overlap but they use each device for different purposes.

My kids, for example, love to grab the iPad and play some throw-away game for a few minutes at a time, but neither of them will curl up on the couch with it for extended periods like they will with their DS, and none of the iPad games have the longevity that full-blown DS games have. Each platforms serves an entirely different purpose. When you're in the mood for a compelling, immersive gaming experience, the DS and PSP are there. When you're bored a want a few minutes of cheap entertainment, Android and iOS games are there.
 
z3r0 said:
Two things could happen:

1) Apple will buy Nintendo or
2) Nintendo starts creating iOS games
Click to expand...

Plenty of other possibilities as well.

3) Nintendo is stubborn and puts themselves out of business
4) Someone else buys Nintendo (Google or MS?)


lilcosco08 said:
Nintendo is fine doing what they do best.
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Losing nine hundred million dollars in six months?

That sure makes it look like they're losing customers as opposed to the other guys growing faster and adding new customers.
 
Nintendo are in a transitional period. Wii sales are declining, while development of the successor is taking large amounts of resources. Plus, while the 3DS has had a rocky start (yet better than the DS in this stage of its life) sales have just had a huge kick up the backside in Japan due to the big N finally getting a solid gold AAA title out of the door (Super Mario 3D Land) with the likes of Mario Kart just around the corner.

I find it strange that many of the uninformed people hooting and hollering that Nintendo should sell up, or lower themselves to be yet another 3rd party software house, are the very same people that like to mock Michael Dell for stating that Apple should have sold up and given the money back to the shareholders.
 
milo said:
Plenty of other possibilities as well.

3) Nintendo is stubborn and puts themselves out of business
4) Someone else buys Nintendo (Google or MS?)




Losing nine hundred million dollars in six months?

That sure makes it look like they're losing customers as opposed to the other guys growing faster and adding new customers.
Click to expand...


fifthworld said:
Exactly. And it's not just because the data is expressed in percentage. In fact, based on the data presented here, Nintendo made 1,842M in 2009, but only 1,179M in 2011; and Sony made 289M in 2009, but only 197M in 2011.
Click to expand...

When it comes to Nintendo, your forgetting its cash cow, the Wii is coming to its end of life. I expect that when the Wii 2 comes out next year ( or whatever its called ) profits will start to rise again. The Wii has done extremely well, far better than people thought.

People thought when the Wii was released all that matters was HD gaming, the Wii proved these assumptions wrong. If the success of the Wii can be repeated then Nintendo have a healthy future. N should still adapt its hand held gaming console strategy.

Sony OTH have plenty of other problems. PS3 sales are rising.
 
blackpond said:
The dawn of the indy game developer. This is poetic justice.

Anyone that's ever looked into developing for PSP, Nintendo DS or the Nintendo/Sony consoles understands what a true walled garden looks like...
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No, iOS is the resurgence of the bedroom coder.
Indie developers are everywhere on all consoles. Valve, Team 17... anyone not exclusively signed with a publisher.
 
layte said:
Nintendo are in a transitional period. Wii sales are declining, plus Nintendo are developing and putting resources into a new home console. Also, while the 3DS has had a rocky start (yet better than the DS in this stage of its life) sales have just had a huge kick up the backside in Japan due to the big N finally getting a solid gold AAA title out of the door (Super Mario 3D Land) with the likes of Mario Kart just around the corner.

I find it strange that many of the uninformed people hooting and hollering that Nintendo should sell up, or lower themselves to be yet another 3rd party software house, are the very same people that like to mock Michael Dell for stating that Apple should have sold up and given the money back to the shareholders.
Click to expand...
I have my copy of Skyward Sword pre-ordered. I do the majority of my gaming on my PC though. I know I am missing out on what the DS and PSP offer in anime related games.
 
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