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The gaming company is offering conversion software to app developers

Nintendo isn't seeing a lot of success with its Wii U console, but it's going to try adding smartphone apps as part of a solution. 

Nintendo is trying to make it so users can use smartphone apps on the Wii U console in an attempt to attract more buyers. The gaming company is offering conversion software to app developers so the smartphone games are compatible with the console.

This could potentially help solve some of the Wii U's problems. One issue is that the Wii U wasn't released with many software titles, and smartphone apps can help fill that gap while Nintendo works on releasing new games.

Another issue is that consoles now have stiff competition against mobile games, which are cheaper to buy and easier to play, since they can go anywhere your phone goes. Smartphone apps for the Wii U could allow for cheap game purchases, but the problem still remains that smartphones and tablets are more mobile than the Wii U console -- hence, this likely won't offer a boost in the console versus smartphone debate.

Nevertheless, Nintendo can use all the help it can get. Last month, the company missed profit expectations by 50 percent for the fiscal year (it only made 7 billion yen of the 14 billion yen that it had previously predicted). It also posted a year-over-year revenue drop of 1.9 percent to 635.4 billion yen ($6.4 billion USD) when the company was originally hoping for 670 billion yen. 

To make matters worse, Nintendo only sold 3.45 million Wii Us worldwide for the fiscal year. This just missed the company's projected 4 million in Wii U sales. About 13.42 million units of software sold for the new console as well.

Nintendo expects a profit surge from the 7 billion yen this year to 55 billion yen next year (March 31, 2014) thanks to new games for the Wii U. 

Nintendo President Satoru Iwata said new Wii U titles will be released starting this summer. 

Source: Japan Times

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By rubbahbandman on 5/7/2013 12:26:03 PM , Rating: 3
i bet within 5 years nintendo becomes a multiplatform software publisher. they will probably give up on the hardware business altogether by then

RE: prediction
By Flunk on 5/7/2013 12:53:21 PM , Rating: 2
That would make a lot of gamers happy.

RE: prediction
By andrewaggb on 5/7/2013 2:40:38 PM , Rating: 2
sure would

RE: prediction
By Labotomizer on 5/7/2013 2:26:06 PM , Rating: 2
They are currently selling the most popular console on the market, the 3DS. People thought the 3DS was dead until the price cut and the AAA 1st party games hit. Supposedly Mario Kart and Mario 3D are due out this year, and with Pikmin 3 and possibly Smash Bros due to the agreement with Namco it could be a massive holiday season.

RE: prediction
By rubbahbandman on 5/7/2013 4:13:11 PM , Rating: 1
most popular console? who cares? it's like being the world's smartest termite.

what are the sales figures for the 3DS? i think they're somewhere in the neighborhood of 31 million (life-to-date since 2011). worldwide smartphone sales on the other hand were 216 million for just the first quarter of 2013.

i don't think i need to bother getting into the aggregate sales of tablets/pcs/competitor consoles/etc to further illustrate my point.

RE: prediction
By Labotomizer on 5/7/2013 6:30:09 PM , Rating: 3
And I'm sure more tomatoes sold than cell phones. What kind of stupid comment was that? Unless you're telling me games on a cell phone match games on the 3DS. Which is madness. Very different experiences for different markets. Nintendo isn't going to stop selling hardware anytime soon. Which is where my comment came from.

RE: prediction
By rubbahbandman on 5/7/2013 8:36:35 PM , Rating: 1
i think the last letter of your name should have been a 'd'.

i'll try to make one more attempt to get through to your one working mental hemisphere. the point is the market for nintendo's hardware is small and shrinking and their profits are suffering as a result - and will likely get much worse the longer they continue on this path.

in my opinion nintendo should focus on their strengths - which is their AAA software library. your comment shows a complete lack of creativity if anything. do you really think cellphone games would be all nintendo could make - and do you necessarily believe they will be bad? look at the top selling games on a smartphone or tablet and please explain to me how nintendo wouldn't completely dominate the competition?

and sadly - lobotomized (spelled with an 'o' by the way) - you've even failed to consider how nintendo games would perform on xbox 360/infinity or whatever it ends up being called and ps3/ps4. do you really think our experience would suffer? because we don't have a wii/wii u/3ds whatever anymore? i doubt it.

RE: prediction
By Labotomizer on 5/8/2013 12:22:41 PM , Rating: 2
I find it terribly amusing that someone who can't use proper writing techniques can call me stupid. My point was that, despite numerous prophecies of demise, Nintendo is doing quite well. The Wii U isn't selling as well as it should but it will do much better.

Nintendo games would sell fine on other consoles. But why would they do that? And people aren't willing to pay $30-40 for an iPad game. They just won't sell. Sure they could go to freemium bait and switch but that's not the type of company Nintendo is. Plus, where did I say cellphone games is all Nintendo would make? You're the one that compared cellphones to consoles, not I.

But twist things however you like. I really don't care. Nintendo will do just fine once their AAA games hit the Wii U, just like the 3DS took off when the big hitters came for that. Should they have done a better job with that? Sure. But I don't regret buying a Wii U for my house.

I also didn't regret buying an Xbox 360, although it sees very little use these days. And I likely won't regret buying the next Xbox. The problem with Nintendo developing for those consoles is they would be limited by their vision. The Wii was a success because Nintendo was able to make games that fit the vision they had because of the hardware. Same for the DS and now the 3DS. The Wii U will get there. In fact, Nintendo could very well outlast all the other dedicated home console makers because of the converging technology markets. They are the only ones that deliver experiences that are completely unique to every other form of gaming. There is very little the Xbox or Playstation offer that you can't get on a PC, yet the experience between a Nintendo console and PC are worlds apart.

RE: prediction
By Labotomizer on 5/8/2013 12:23:39 PM , Rating: 2
Oh, and it's spelled "Rubberbandman" if you want to talk about someone's chosen spelling for a name. I'm well aware of the proper spelling of Lobotomy.

RE: prediction
By CZroe on 5/7/2013 3:09:40 PM , Rating: 3
I've been hearing the wanna-be market analysts say this for years simply because of what happened to Sega. Nintendo is nowhere near as bad off as Sega was and they likely never will be. I think it's equally likely that they will get their own "Jonathan Ive," break into the tablet and smartphone market themselves, and revamp everything they do with a mantra that works.

Even when people were praising the "intuitive" Nintendo DS in 2004 I was talking about how unintuitive much of the menu and interface design was. Nintendo has compounded these problems over the years, so I hope they turn things around.

RE: prediction
By rubbahbandman on 5/7/2013 3:49:07 PM , Rating: 2
i like how you mention wanna-be market analyst and in the same paragraph make your own wanna-be market analysis. the industry has changed a lot since the sega days - i for one wasn't saying nintendo would leave the hardware business last decade - but exceptional handheld smartphones and tablets did not exist back then.

trust me in <5 years they are out of the hardware biz cus they wont be able to compete (you're already seeing it now with the Wii U) and on the software side the entire smartphone/tablet/xbox/ps4/pc market will simply be too much to pass up.

RE: prediction
By CZroe on 5/8/2013 8:41:44 PM , Rating: 3
And I like how you think that a market analyst can't critique you and call you a "wanna-be" as if your opinion is automatically as valuable as his. Not that I'm a professional market analyst, but you can see the logical contradiction that your amusement requires.

I'm not saying that my scenario is better than yours, I'm saying that your analysis is no better than any of the kiddies saying the same thing for years who barely looked below the surface of the actual dynamics that led to their ONE historical data point, nor did they look deeper at the new ones influencing the current situation. If I do more research and make better predictions, you'd better believe that my analysis bears more weight even if I am not a market analyst, so I *could* call you a wanna-be while taking a stab at my own analysis.

The thing is, that isn't even what I was doing. Lern tu reed. The criticism wasn't that you weren't a professional market analyst, it was in the perceived value you over-confidently ascribe to your musings.

Saying that "I think it's equally likely" is saying that NEITHER of our scenarios has any more merit than the other and, thus, BOTH are just silly conjecture. I am the one that put mine forth as equally UNlikely with no delusions of prophetic accuracy. You wrongly believed I was proposing a counter analysis to yours as if I believed it to be MORE likely. I don't. If you speak English, you should know that "equally likely" does not imply how likely it is and, thus, when describing one of those as being unlikely, it can also be interpreted as saying that both are UNlikely. I was demonstrating the same level of conjecture as you to show the fallacy in BOTH scenarios. Thinking that I was proposing something I thought was likely reflects poorly on your reading comprehension skills.

As for your new attempt at analysis:
Your focus on the Wii U's performance in telling. What we are actually seeing is a shift away from ALL dedicated handhelds and consoles and a stubborn refusal by the traditional console and handheld manufacturers to leave the underpriced hardware, over-priced software/accessory business model. Adding a tablet to the Wii U does not add the utility that consoles lack when compared to an iPad, so it will not appreciably influence consumers who were trending toward that in the casual software running on a smart-anything world. They should have moved into highly integrated do-everything consumer devices a long time ago. Hell, Nintendo should have beat Apple to the smartphone market in the first place.

How the Wii U does against the direct competition is much less important than how they all do compared to previous generations. Their reaction and change in response to clearly different consumption trends is important. The trend reflects their inability to compete with the new markets that siphon casual players.

What can they do to salvage it? I actually think physical copies of games is an advantage for consoles even at casual prices, but console and handheld makers want to charge just as much as ever for digital content too and Microsoft is moving to make physical copies as worthless after purchase as digital copies (tied to a console; only played online). The least they can do is allow transfer of digital content and reverse the trend of including one-time DLC with physical copies and other similar nonsense (3DS Resident Evil w/no way to delete/start over).

Even before this shift I have always said that Collector's Editions and one-time DLC just dampen the true value of good software on physical media. Now it dilutes their primary advantage.

RE: prediction
By zerocks on 5/8/2013 3:29:35 AM , Rating: 2
All they need to make the Wii U popular (or at least to get a lot more sales if not make it popular) is to release a new Super Smash Bros. title and it'll all be set
They won't be able to do that forever so I don't know why they don't capitalize on it like they are with pokemon games, new title = more money and the gamers love to revisit games with more modes and characters..
Literally the only reason I will buy a Wii U is if they release a new Smash bros and I know there are plenty out there like me..

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