Nintendo looks to restore magic with 3D console

May 07, 2010 by Hiroshi Hiyama
Nintendo on Friday brushed off suggestions its magic may be fading despite declining sales of its Wii console, as it prepares to unveil a handheld 3D device it hopes will drive a new gaming revolution. President Satoru Iwata, pictured in 2008, remained tightlipped about the much-awaited gadget, tentatively know as the "3DS", only saying it will offer a whole new gaming experience to players.

Nintendo on Friday brushed off suggestions its magic may be fading despite declining sales of its Wii console, as it prepares to unveil a handheld 3D device it hopes will drive a new gaming revolution.

President Satoru Iwata remained tightlipped about the much-awaited gadget, tentatively know as the "3DS", only saying it will offer a whole new gaming experience to players.

He also shrugged off suggestions that Nintendo has passed the peak of its growth after the company announced its first decline in annual profit for the first time in six years Thursday on slowing sales of its and DS devices.

The maker of the hit series "" saw fall 18 percent in the year to March as it cut prices of the Wii in response to competition from Sony and Microsoft in the multi-billion dollar industry.

Boasting total lifetime sales of 70.93 million units, a record in the firm's history, the Wii has easily outsold Sony's and Microsoft's since its 2006 launch.

However, analysts say that as the impact of the Wii fades within a saturated market, Nintendo's next move will determine whether it still has the ability to lead the industry.

"We believe there is more room for us to expand the game playing population. We have to do our best, as an entertainment business, so that we can keep offering good surprises to consumers," Iwata told a news conference.

"Obviously, a game won't be fun only because you made it 3D," he said.

"This is still an uncharted territory that requires us to experience more trials and errors."

The so-called Nintendo 3DS will go on sale this fiscal year, allowing users to see 3D images without the need for special glasses. It will be showcased at the E3 game trade show in June in Los Angeles before its commercial launch.

Iwata's remarks came a day after the Kyoto-based company predicted net profit for this year to March 2011 would fall 12.5 percent.

said it expects global sales of Wii consoles to fall to 18 million in the fiscal year, down from 20.5 million in fiscal 2009 and 26 million in fiscal 2008.

"I think 18 million consoles is a fairly ambitious target, considering it has been four years since this device was originally launched," Iwata argued.

"I am not pessimistic about the future. We only realise that selling more in the current business environment will be difficult," he said.

Iwata also said the new console will come with tighter piracy controls, which he said is a growing problem in Asia and Europe.

"What is worrying is that more and more people who wouldn't have engaged in these acts before are now doing it without hesitation," he said. "What worries us is that people finding no value in paying for software," he added.

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User comments : 5

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Yellowdart
not rated yet May 07, 2010
Well, when everyone has one practically, you would think sales would slow at some point anyway...

They definately though, at this point, need to hop into the HD/3d arena if they want to continue leading the sales.

Considering though the Wii was profit from the get go, theyve made a ton of money compared to Sony/MS who have both had to sell their hardware at a loss.
NotAsleep
not rated yet May 07, 2010
They definately though, at this point, need to hop into the HD/3d arena if they want to continue leading the sales.


Nintendo INVENTED the 3D gaming arena:
http://en.wikiped...tual_Boy

However, the "Virtual Boy" proved the quote in the article:
"Obviously, a game won't be fun only because you made it 3D"
Yellowdart
not rated yet May 07, 2010
Yeah, I know :) I'm surprised it wont be called Virtual Wii...
Virtual boy failed for 2 reasons. 1. No color 2. Not on a tv.
MarkyMark
not rated yet May 08, 2010
It seems to me that this "3DS" is probably a test for some experimental 3D Wii.
MikeLisanke
not rated yet May 11, 2010
Will Nintendo artificially constrain sales to drive hype on their new device? In a word, yes. Somebody should have mentioned how successful this company was with social engineering.

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