next »

[Gimym JIMBERT]

Iwata said he is taking responsibility for the 3DS, which translates into a cut in his paycheck. "For cuts in fixed salaries, I'm taking a fifty percent cut, other representative directors are taking a 30 percent cut, and other execs are taking a 20 percent cut," said Iwata.

 

[Richard Kain]

Iwata said he is taking responsibility for the 3DS, which translates into a cut in his paycheck. "For cuts in fixed salaries, I'm taking a fifty percent cut, other representative directors are taking a 30 percent cut, and other execs are taking a 20 percent cut," said Iwata.

 

This is actually a nice gesture on the part of the Nintendo seniority. Especially these days, when we always seem to be hearing about major executives lining their pockets at the expense of their company. (and by extension, the company's employees and shareholders)

Of course, it is slightly less significant when you consider the disparity between executive salaries in the US and Japan. (I believe Iwata makes about 1.8 million USD annually) In the US executives of their level taking a cut in salary like this would translate into a lot more money. And Japanese business culture has always had a tradition of higher-ups accepting blame instead of trying to dodge it.

Still, I consider this to be a positive example, and one that Western companies could learn from. When the shit hits the fan, it makes a powerful statement for someone in charge to accept responsibility and consequences for what happened.

[BlueSweatshirt]

For the record, here's the article that it's from:
http://kotaku.com/5825872/nintendo-president-takes-blame-for-3ds-getting-50-percent-pay-cut

I'm in favor of this as well.
Honest move by Iwata & co.

[Richard Kain]

I'm in favor of this as well.
Honest move by Iwata & co.

Part of it is being honest, part of it is Japanese culture, and a very large part of it is an attempt on Nintendo's behalf to inspire confidence in their shareholders.

Even with reduced profit expectations for the year, Nintendo is still probably going to be turning a net profit. So there is little danger to the company itself, and it is unlikely that anyone there is going to get fired over their current financial situation. The people most likely to be upset by the recent turn of events are the shareholders. Nintendo's stock has taken a substantial hit over the reveal of the WiiU, and now again over their adjusted financial projections. Granted, their stock's value was probably inflated anyway by the meteoric rise of the DS and Wii. But people who bought Nintendo stock in the past few years aren't going to be happy about what has transpired.

Major executives taking a hit like this public shows that Nintendo knows things aren't exactly peachy, and that those in charge are taking responsibility for the state of affairs. The recent reduction in price on the 3DS shows that Nintendo is taking action to remedy the situation. It is a bit reactionary. But I think this is probably the right move for Nintendo.

Now if they could just do something about their on-line services...

[BlueSweatshirt]

What about their online services?

[Richard Kain]

What about their online services?

Well, there are no technical errors in how they are implementing their on-line services. It's more that they are simply squandering potential, and are quite a bit behind the competition.

I believe that someone else already mentioned this, but it is not currently possible to buy full 3DS games on the 3DS's on-line store. This is a mistake. The iPhone's entire infrastructure is designed around digital distribution. The PSP has provided the ability to buy full PSP-developed games digitally for years. XBox Live and PSN both offer full games for purchase on their on-line stores. Why isn't Nintendo allowing for the same functionality on a premium-priced handheld? The thing even comes with a 2 Gig micro-SD card. Nintendo's refusal to step up their digital distribution game will end up holding the 3DS back. The announcement that they will be expanding the 3DS's Virtual Console to NES and GBA games is a step in the right direction, but its not enough.

There's also the fact that they are so inflexible in how they handle their on-line system. Services like XBLA, PSN, and Steam have all grown used to the idea of regular sale prices. Nintendo doesn't seem to understand the concept, and never seems to put any of their offerings on sale. Sales are great ways to hook consumers in, and encourage them to buy into your on-line service. I understand that sometimes this is a licencing issue, but Steam seems to be able to maneuver around the same issue with ease. (by actively communicating with their 3rd-party developers, and encouraging them to participate in sales)

The on-line space is becoming increasingly relevant, and it is by nature faster and more fluid than traditional retail. If Nintendo wants to remain competitive they are going to need to adapt more quickly in the on-line market.

[BlueSweatshirt]

Ahh yes, I totally agree with that.

Their competition is especially high, considering that iOS is pretty much the deadly competitor. iOS games cost $0.99 on average, and rarely cost more than $5. In contrast, the standard 3DS game is $40, and the standard downloadable is, I'd say, about $4. Sure, one could say "but our games are of a higher quality/to a higher standard." It doesn't matter when the fact is that someone gets equal entertainment out of a game that they payed $1 for. Sure, iOS gaming might not be everyone's cup o' tea, but it's growing when Nintendo is stagnating. And that's what's significant in my opinion.

That said, I don't think Nintendo is by any means "losing" yet. But, if they want to stay relevant I do think they need to step up their game. They're not competing with game consoles anymore, they're competing with multifunction devices. The 3DS has the capability to be multifunction, and it's already trying to be, but all around it needs to improve it's offerings on all fronts if it wants to stay relevant. Even the Vita is approaching a multifunction design, from what we've seen.

[moi]

shameful iwata-san will commit seppuku at dawn

[[RM8]]

That made me buy Dark Void Zero, though, and I liked it a lot.

Did you find the Easter Egg I put in there?

Wow, didn't know you were involved with this, that's awesome  I'll go look for that Easter Egg.

[Shakhal]

Now the price drop affects even the Nintendo's Senior Management. They cut their wages...

Ouch! I'll be like that smiley ----->

[BlueSweatshirt]

I wish the US government was like Nintendo's Senior Management. 

[capn.lee]

how do i go about signing up for these free games, anyway?

[BlueSweatshirt]

Just get on the eShop before August 12th and you'll be put on the list, apparently.

[ஒழுக்கின்மை]

i'll never pay more than $100 for a handheld console, and i don't think anyone else should either. when the original game boy was first launched it was $80 new. so this price change doesn't affect my unwillingness to buy it; when it's $99 i'll give it a chance

[Trevor Dunbar]

What about their online services?

Nintendo has online services? Sign me up.

I can't wait to play Super Mario Bros with someone online as luigi.

So why haven't they made a New super mario bros with a level editor where you can share levels with the world and features 4-player online co-op? Make the hardest level in the world and try to make it through with your friends.

[BlueSweatshirt]

In that case, Paul, now's an excellent time to finally buy a DS Lite.

[Zest]

What about their online services?

Nintendo has online services? Sign me up.

I can't wait to play Super Mario Bros with someone online as luigi.

So why haven't they made a New super mario bros with a level editor where you can share levels with the world and features 4-player online co-op? Make the hardest level in the world and try to make it through with your friends.

Actually, there's an unofficial level editor for New Super Mario Bros. Wii. No clue how many good levels there are, but it's out there.

[Nix]

It seems like a bargain until I realize that I would then have to buy really expensive games. Still a no-go for me. Maybe I'll grab a gp2x wiz and catch up on some retro stuff.

[C.A. Silbereisen]

i'll never pay more than $100 for a handheld console, and i don't think anyone else should either. when the original game boy was first launched it was $80 new. so this price change doesn't affect my unwillingness to buy it; when it's $99 i'll give it a chance

But I play handhelds more than consoles

Also inflation etc

[Brother Android]

...not to mention it's a pretty complex piece of technology. $100 is a pretty arbitrary cutoff.