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| | (Post a comment) » Iwata admits the 'Wii has stalled'While speaking to analysts and investors during Nintendo's earnings conference call last week, Nintendo President Satoru Iwata acknowledged that the Wii's sales momentum has waned. From Gamespot:
"The Wii has stalled. Games of high demand could not be continuously released and the good mood has chilled." Iwata is quoted as saying.
"The mood of the market got colder than expected, and there was a difference in expectations," he said. "Now, we are preparing for next year and thinking about what to do the year after next." Iwata went on to say that he remains optimistic about Wii sales going forward.
Thanks to price cuts from Sony, the PS3 moved ahead of the Xbox 360 and Wii in sales last month. Nintendo responded with a $50 price cut of the their own, but priced at $200, many analysts believe Nintendo didn't go far enough. With just 512MB of memory and an ancient graphics/CPU, Nintendo's probably still making nice profit margins on each Wii console sold.
Some believe Nintendo will respond with a new console in 2010 or 2011, the "Wii HD" as its been called, which will reportedly sport graphics comparable to today's PS3 and Xbox 360. Thanks to process shrinks it certainly wouldn't be difficult for Nintendo to bring an affordable shader model 3.0 console to market, although Nintendo has previously stated that its targeting a new audience for this generation and that it isn't just about graphics anymore -- graphics are "good enough" and the mainstream consumer is more concerned about the gaming experience.
Despite the sales success of the Wii console itself, Nintendo's continuing to struggle with third-party game sales. Nintendo's first-party titles, Mario, Zelda, Smash Bros, Wii Fit, etc, have all sold well, but third-party titles like Madden have traditionally sold much better on Microsoft's Xbox 360 and Sony's PS3. Many analysts believe if Nintendo's Wii sported current-gen graphics, it would be easier for game developers to port over their titles and the hardcore crowd who tend to purchase more games may give the Wii a second look. I know Yoshi's been preaching in the comments that the Wii's sales would stall for years now. It's interesting (and refreshing) to see that Nintendo is beginning to publicly acknowledge that. | Previous news article | Back to main news | Next news article  |


| 50 User Comment(s) • 18 root comment(s) |
Kamus (110) Nov 06, 2009 - 02:08 pm
| OMG, who would've thought people would eventually realize that the Wii is running on ancient hardware and are paying more for less?
Seriously, with the PS3 and 360 becoming more affordable, but being far more advanced, this was inevitable. Of course Wii sales would drop.
Third party support has never really been there.
If you consider that a multi platform game (basically a game that is supposed to be the same on all consoles) would pretty much look like shit on the Wii compared to the other two versions.
So, the only way to do a third party game that wouldn't look like ass, would be to design it with ancient hardware in mind. It'd still look a lot worse than games in the PS3 / Xbox 360, but at least since it's designed with the Wii in mind they could make it run smooth and look the best it can.
But this of course would mean using all their resources to a game that has to compete with Nintendo head to head, on a market that is mainly casual or non gamers.
The only thing that surprises me about Wii sales drop, is that it didn't happen earlier.
And what will happen with their "next gen" console? they better think of a new gimmick, because the new controller with obsolete hardware combo will most likely not work again since the novelty of the controller has worn off significantly.
To the guy claiming that the Wii's success somehow has bought them a ticket to be #1 on the next generation, i think you're wrong.
I could definitely tell when the original Xbox came out, that MS's next console system would be able to compete with Sony, and it did, beyond my expectations even.
I just don't see how you can get the same impression from Nintendo though, they pulled a hell of a trick with the Wiimote, but that's what it is, a trick.
I just don't see lightning striking twice for them, this time they have to get serious on the hardware and features side.» Login to reply to this 
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douglord (5) Nov 04, 2009 - 03:51 pm
| » Yoshi Wins Yoshi has some good points on 3rd party software.
Look we all know the Wii won the hardware battle. But its been a disaster for 3rd party software companies.
Top 50 Wii titles sold 232.8mm copies. 19 of them were Nintendo. But worse, 173.4mm copies were Nintendo. So yes Nintendo minted money in this generation. But that leaves 31 3rd party titles in the top 50 selling only 59.5mm copies. An average of 1.9mm each.
For the 360 the top 50 titles sold 143mm copies. 11 were MSFT - for a total of 40mm copies. That means 39 3rd party titles sold an average of 2.6mm copies each.
For PS3 the top 50 titles sold 90.5mm copies. 13 were Sony - for a total of 26mm copies. That leaves 37 3rd party titles averaging 1.7mm titles each.
One more dig at PS3. Taking the top 20 360/PS3 multiplatform games. 360 sold 69.3mm copies and PS3 sold 44mm copies. Ex Japan its 68.5 vs 41.9mm.
So if you are deciding to make a 3rd party title and you have to choose to make it for only 1 console - you go 360 and sell 40%-60% more copies then Wii or PS3. Its just math!!» Login to reply to this Terrak (585) Nov 04, 2009 - 04:55 pm
| Yoshi Wins? So what are you going to give him?
stop changing the rules as with all previous generations Most Hardware sold = Winner of the Generation. I hate when people decide the change the rules to benefit the console of there choosing.
Anyway all the best ThirdParty titles went to the 360 and the ps3 and the Wii got waggle tack on garbage. So how can it be a fair comparison? Great titles well promoted sell well. Simple as that. DOesnt matter the platform. Motion control is still in its infancy, it has a long way to go but it had to start somewhere.
Your facts also prove the point that the Wii sells the most software period. There is potential for sales there, however the third party support (currently) is not.
If the Wii had HD graphics from the get go it would have been this gens ps2, but as we know its not the case
I think all those 360 and ps3 fans can simply look forward to next gen to see if there company of choice wins because this gen is pretty much over. My prediction is within 2 years the Next gen begins, Nintendo definately has incentive to move on, the Wii sales are slowing down drastically (but not significantly below that of either HD consoles) and its been that way for them every Gen to replace there consoles every 5 or 6 years.
If you read my previous post, you will realise that the real Winner is Nintendo, they have come from last place in previous gens to completely leave both competing consoles in there wake, and positioned themselves well into the next generation. Now that Nintendo has put themselves in first place Thirdparties are more then likely to offer there support next time around.
BTW your statistics also dont show that the Wiis software sales are that bad, average if 2 million sold each on a platform that is much cheaper to develop on? thats not bad all things considered.» Login to reply to this SteelDog (144) Nov 04, 2009 - 11:44 pm | Edited on Nov 04, 2009 - 11:46 pm
| Again your post doesn't make much sense. You keep harping on Nintendo being a winner. However, if you look at sales, MS is hardly disappointed. In fact, 3rd party developers will tell you that from their perspective the 360 is a much bigger success for them. MS XBOX Live Market place has been a cash cow for MS as well.
Also what is this "potential" you are talking about? If your speaking in terms of 3rd party titles, there practically is none on the Wii. Again, look at 3rd party title numbers. It's clearly more profitable for 3rd party developers to produce on one of the other consoles. I think what your seeing is that the lack of quality of software available for the Wii is now impacting sales. Sooner or later you have to have the software to support your console or it will catch up to you.
Again, the only people that care about who sells the most is fanboys and market executives. You either make a profit or you don't.
P.S. Just because Wii does well doesn't mean it is "setup" for the next generation. If anything Nintendo and Sony both have proved first hand that one generation has no influence on the next generation. You can go from first to worst in a single generation.» Login to reply to this 
Terrak (585) Nov 05, 2009 - 02:36 am
| I think your being short sighted about the situation. Its not simply about the situation now it also to do with the future of Nintendo and there products.
When have i said that Wii has had strong third party support? In fact ive complained how WEAK it is so explaining something i already know and admit to is ridiculous. Maybe reread my comments if you wish to argue.
Again if you realised the strategy Nintendo was using with the Wii its genius, its not fan boy talk its a fact. Turning last place position into a comfortable first place this gen is quite a turn around.
I have posted many time explaining why Nintendo has been treated poorly by thirdparties, namely no HD and the how 'poorly' the GC did (you know last place) as well as focusing on Motion Control which at the time has not proven itself as mass marketable. If you look at these fundamental reasons (and a few more) its easy to see why the Wii has such Weak support from Thirdparties.
You talk about how 360 sells alot of thirdparty titles and when did i disagree with that fact? Its easy to sell lots of software when developers put all there effort into making quality software. This happens regardless of platform. Great games that are well marketed sell well, why are we assuming that only the 360 can sell millions of copies. Thats rubbish, the only thing that stopped the Wii getting those exclusive titles was HD, and this is my point of the Wiis potential. Because it was such a success the next Wii can feed off that success, coupled with HD graphics the next Wii which should arrive in the next 2 or so years with improved Wiimote controls will reach its full potential.
The Wii was a test to see if the Market would accept Motion controls. Its obvious it has, and now even sony and MS are including it also, to me that looks like universal support for Motion control.
As for your last statement that is true to a degree however it all depends on the situation too, and cant be blindly applied to every situation, the ps3 could have fed of the success of the ps2 except that the Wiis focus on family friendly motion control based system took the lime light and the rest is history, unless sony has an ace up its sleeves next gen which i have discussed is highly unlikely considering its talking 10 year life cycles and racked up over 4 billion in debt.
There is no doubt that the 360 is finally profitable however it has a long way to go if it is to recoup the losses of its own R&D and marketing let alone making enough money to pay for the next xbox. There has been no denying that the 360 is profitable for developers, otherwise they wont bother to develop for it but i ask if they had developed those games for the Wii im sure it is possible that they could profit too. The ps2 showed it was possible to be Casual friendly and also have the AAA titles, so if the Wii had HD graphics its not hard to assume that the Wii could do the same. Hence the potential of the NEXT Wii.» Login to reply to this |

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carlton (50) Nov 03, 2009 - 06:08 pm
| I fail to see what the bickering in this thread is about. Nothing has changed other than the wii isn't selling 500,000 consoles a month, just 300,000. That's "stalled". "Stalled" and still on pace to sell more than the PS2.
I continue to be a proponent of the Nintendo business model. I continue to see the folly of the models of both Sony and MS. Losing billions of dollars for mind share or Blu-Ray is just bad investing. The only way to make any business work long term is to make money. Nobody can foresee which console will sell the most next generation. There is no accurate predictor. You should either make money or cut bait.
And yes, I have Microsoft stock. And yes, I wish they'd either make money or get out of the game.» Login to reply to this |

x4 Critical (396) Nov 03, 2009 - 12:35 pm
| The developers cannot make good games for the system because the controller is horrible, and it scares me when Sony and Microsoft salivate over bringing their own version out. Even with the Motion Plus, the Wii control is far from ideal, and in many cases horrible, for most genres of games.
There is a reason there are so many party games, the Wii and control scheme are a basic party system. In that aspect, the Wii is excellent, in every other aspect, the control system is a major liability. If the developers cannot make quality games due to the control scheme, the system will not sell in the end. It is still a strong novelty, but that is all it is.
Even if the system did have HD graphics on par with the 360 and the PS3, sales would still be slowing down.» Login to reply to this 
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