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Nintendo Making Head Scratching Decisions

Nintendo has announced a new “Affiliate Program” for YouTube “Let’s Play” videos featuring any Nintendo content. Though Nintendo has yet to release all of the details on the new program what has been released is not good news for many YouTubers whose channels feature game related content. The affiliate program states that any ad revenue generated by a Let’s Play video will be divided up between Google and Nintendo. The creator of the content will have to ask for official permission from Nintendo to receive their share of the revenue.

Last year Nintendo started flagging all videos on YouTube featuring their content. This flagging was met with such disdain by the gaming community that Nintendo recanted and returned to letting YouTube users feature Nintendo content without consequence. It looks like Nintendo has modified their original idea. It may seem fair for Nintendo to get a share of the revenues earned from Let’s Play videos featuring their content but the thing is no other gaming entity engages in any practices similar to the “Affiliate Program.” Not even Sony nor Microsoft enforce any sort of revenue sharing for Let’s Play videos featuring proprietary content.

In fact every other gaming entity encourages Let’s Play videos. On top of being free advertising Let’s Play videos help create communities around the games by giving a deeper look into content that can not be easily displayed in a trailer or commercial. Gamespot just did a Let’s Play for the new Watch Dogs title and I am really glad they did because it shed a lot of light on just what kind of game Watch Dogs really was and it helped me decide if it was something I really wanted to play. To get right down to it Let’s Play videos have become a staple of the gamer community. YouTube host boogie2988 made an excellent point in a recent video about how most of the developers in gaming, big and small, are so excited for people to play their games they often ship them early to people who do Let’s Play videos so as many people as possible can enjoy their games.

It just seems counterintuitive for Nintendo to put this kind of restriction on its content. The “Affiliate Program” is going to discourage the creators of Let’s Play videos in favor of content with less restrictions. Nintendo will also go after reviews of their games and anyone displaying anything Nintendo related on YouTube. For a company that has lost almost half a billion dollars in the last year and has watched its newest console struggle to gain any kind of foothold in the gaming market alienating your fans makes no sense. Why would you tax people for giving you free advertising? Obviously this is a way for Nintendo to make some money. The question is will it be worth it in the long run? It is fairly likely people will stop wanting to do coverage of their games and products.

YouTubers with gaming channels reach huge audiences. Why would you do anything that could potentially diminish your presence within that audience? Especially when you are struggling. All I can say is it feels like every time I think Nintendo is starting to turn it around they do something like this. Nintendo has deep pockets so they aren’t going anywhere in the near future but actions like this “Affiliate Program” make them seem so out of touch with what is going on within the gaming community, a community they helped to create.

-Z3R0TH3RT33N

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Nintendo will not be holding a traditional conference at E3 for the second year in a row. Instead Nintendo is opting for a similar approach to last year’s E3. Nintendo will have a presence at E3 showing off new software and hardware on the showroom floor but instead of the traditional conference they will broadcast an E3 specific online special called the “Nintendo Digital Event.” Along with the “Digital Event” Nintendo will be broadcasting live all 3 days from E3 from the “Nintendo Treehouse.” Nintendo will also be holding a Super Smash Bros Tournament during E3 among 16 high skilled players. Like last year, Nintendo will again have a presence in Best Buys across the country. This year the new Smash Bros will be playable on the Wii U for fans to try at participating Best Buys nationally.

I think the original reasoning for Nintendo to take this approach last year had a lot to do with the extreme hype and momentum Sony and Microsoft were carrying into last year’s E3. It also had to do with the fact that the Wii U was tanking and overall Nintendo hardware sales were down. Opting out of a traditional conference felt like Nintendo bowing out of the ring to let Sony and Microsoft duke it out for console supremacy, and to an extant that is what happened. On the other hand this new approach by Nintendo is perhaps more clever than credited. The Wii U is still tanking. Even after Nintendo severely cut yearly sales expectations the Wii U still failed to meet the quota. It’s no secret that while the Nintendo DS is still selling well, Nintendo as a whole is hemorrhaging money.

Foregoing the traditional conference saves Nintendo money. By having a live Nintendo specific channel in the “Nintendo Treehouse,” Nintendo has guaranteed coverage of everything it wants to show off during the entirety of E3. They don’t have to rely on third party outlets like IGN or Rev3Games to provide coverage on their products. This way Nintendo can ensure anything and everything they want to show off will get full coverage. The downside is that it is largely possible the only people who will tune in to the “Nintendo Treehouse” are the hardcore Nintendo fans, people who already own the Wii U, and therefore a limited audience with limited potential to grow the console install base. Showcasing a new game at local Best Buys has more potential to reach a larger audience and is a cool way to try to share the E3 experience with people who may never get to go to the actual expo.

In the end Nintendo does have fairly deep pockets so it is unlikely they will be going anywhere soon. Will this new approach to E3 payoff in the long run? If nothing else at least Nintendo is making headlines by changing it up. I mean I wrote this post right here about it. There was a rumor circulating recently that Nintendo might unveil a new console this year and just cut their losses entirely with the Wii U. I find this really hard to believe as research and development for a new console is really expensive and Nintendo is no stranger to struggling hardware. Outside of the Wii, the N64 and the Gamecube both had modest install bases compared to their competitors. E3 2014 starts June 10th this year and thus another chapter in gaming is only a month away. Where Nintendo’s story goes from there is anyone’s guess.

-Z3R0TH3RT33N

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Nintendo News

Nintendo has announced the Wii mini, a miniature version of the Wii will be available to the U.S. this holiday season and should retail at about $99. The Wii mini is a bare minimum of the console offering no online functionality it does however come with a copy of Mario Kart Wii in the bundle at no extra charge. The Wii mini is part of Nintendo’s plans to promote “low cost gaming.” Most likely the Wii mini arriving in the U.S. has a lot to do with the less than stellar performance of the Wii’s “next gen” successor the Wii U. No doubt that Nintendo is promoting the Wii mini, which was already made available in Canada in last year, to help absorb some of the losses Nintendo is taking on the Wii U. When I last reported sales of the Wii U the tally was about 3.6 million units worldwide. That number is measured from the November launch of the Wii U to June 30th with only about 550 thousand units sold between December 31st 2012 to June 30th 2013. In contrast the Nintendo Wii had sold about 9.3 million units in the same amount of time with the Wii selling just over 6 million units worldwide in the same amount of time.

 

The Wii U sales numbers have finally been reported for the time between June 30th and September 30th of this year. In this time Nintendo has sold roughly 300 thousand Wii U’s. This brings the grand total of Wii U’s sold to just over 3.9 million units worldwide as opposed to the 13.17 million units the Wii sold in the same amount of time. I have heard from various sources as well as read on multiple sites that Nintendo has projected sales of over 9 million units sold for the Wii U and will not waver from this projection. The reality is that quarter 3 or Q3 for the Wii U is in the books and in the last 9 months Nintendo has only sold about 850 thousand units. Analysts are predicting sales at about 550,000 units for the Wii U this holiday season. The bottom line is Wii U sales coming in at less than half of projection for its launch year can not be good news for Nintendo and its future in the home console market.

 

-Z3R0TH3RT33N

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Resurrecting Nintendo

I just had this idea on how Nintendo can resuscitate the Wii U. First off number one don’t do a Nintendo direct for this. Do an actual press conference, someplace very public like Sony did in NYC to unveil the PS4. Nintendo should hype this idea up a lot. Launch a worldwide ad campaign all alluding to a mysterious new thing. Give the ad campaign a tone more accessible to an older audience. The final ads should read something like this, “This fall Nintendo brings the power back! Will you be ready?” then they show a release date. People across the globe freak out, speculating are they bringing back Nintendo Power magazine?!” Nintendo lets everyone simmer for a while.

 

After maybe six weeks or more of intolerable silence Nintendo holds “THE” press conference. Lots of build up, dark lit rooms, fuzzy images, news press EVERYWHERE. Then we get an extended video with high energy, maybe even with celebrity cameos all asking, “are you ready for Nintendo to bring the powerback?!” of course they all say yes! Then lights fade to black in the convention center. They start playing the theme from Terminator 2, duh duh duh duh……duh duh, duh duh duh duh…..duh duh! Everyone freaks out, partly just because everyone loves Terminator 2. A spotlight comes on the catwalk there is someone walking down it with a suitcase handcuffed to him. The music builds mixed with  the intro for “Blind” by KoRn. At the end of the catwalk there is a table and a second person pulls out a key for the suitcase and unlocks it. Their back is turned to the audience and cameras as they reach inside. At that moment the song breaks and the lyric “Are you ready?!!!” blasts across the PA system broadcasting into millions of homes around the world and the person turns around and reaches up with their hand held high. On their hand is the Powerglove! Words across the video read “for the return of the POWERGLOVE!!” But not just any Powerglove this is the Powerglove 2.0 completely redesigned and overhauled for the Wii U. Laser lights shine and the music changes to complement an energetic montage video of people having fun playing Nintendo games with the Powerglove 2.0.

 

Powerglove 2.0 has the screen like the Wii U tablet controller built directly on to it with touchscreen funtionality. All the expected features for motion gaming would come built in including actual 1:1 hand gestures just like the original Powerglove promised 25 years ago. Seeing how Nintendo banks so heavily on motion gaming this seems like a no brainer. Think of the possibilities available now with this kind of hardware. You can literally make a first person Iron Man game where you actually use your hand to shoot his blaster. How cool would it be to get messages and videos from in game characters on the screen on your arm. Better yet how great would it be to play online games and actually interact with your friends by talking to them on the forearm of your Powerglove? Combined with use of the regular Wii controller the applications are limitless. How cool would it be to actually summon a fireball with your hand in a game or dialing in codes and lock combinations you have found in the game using the touchscreen on the Powerglove 2.0?

 

For the horror fans imagine a game like Outlast about a reporter who hears strange sounds from a nearby abandoned insane asylum and decides to investigate only to discover, as many would have guessed, was a very bad idea. OK so now picture playing a game like this with some of your friends. All of you are sneaking around inside this asylum in different areas. Each of you can find objects and information to help each other escape. The catch is you have to physically tell them what you know. You have to send a message to your friend from your Powerglove monitor alerting them that you have important information to help them progress through the asylum. Maybe even make the glove vibrate whenever you get a message so as to add to the stealth element. Either way the alert lets you know that both of you need to get to a “safe” area so that you can relay the information. This could add so much to a horror experience. Think about guiding your character to an empty closet while your friend is hiding in a locker and the two of you are whispering details back and forth on the Powergloves monitor because speaking too loudly can alert enemies to your location. Maybe as you progress you can upgrade your abilities and do stuff like take in-game pictures and videos and send recorded messages to each other in the game using the Powerglove’s forearm monitor. You could even base the whole game around the Powerglove like in the game its some kind of tool given to you by your captors. They find the hunt more satisfying if their prey has a “fighting” chance. ( Powerglove aside this is a game I would like to play )

 

To be fair though videogame development is not cheap let alone hardware development and to expect such an elaborate game based on a piece of hardware you would have to have an install base considerably better than that of which the Wii U itself currently has. Research and development for a piece of hardware like the Powerglove 2.0 I just described would not be cheap for Nintendo. That being said though the reappearance of the Powerglove would be huge in the gaming community not just for Nintendo fans. There is a huge demographic of people who grew up when Nintendo ruled the world. Many of us still remember the “Nintendon’t what SEGA does!” days and no matter what console you played on everyone knew Nintendo and what the Powerglove was. Even though I am pretty sure only three games ever came out specifically for the Powerglove and the hardware was notoriously a functional disaster many people look back on the device with nostalgic fondness. Even though it didn’t work very well the glove still looked cool. The technology exists today to actually make the Powerglove everything it was supposed to be, and then some.

 

Ultimately the biggest consideration for a piece of hardware as elaborate as the Powerglove 2.0 is how to make such a piece of hardware affordable to consumers and have the hardware still be profitable. How much are you willing to spend for something like this? $100? $150? $200? If the controller was made well, functioned like I described, was sold at a reasonable price and was supported properly I think Nintendo could gain some serious ground against the upcoming PS4 and XBOX One. The nostalgia element alone would have lots of older gamers going and buying it. I would consider buying one just to have it and I don’t even have a Wii or a Wii U. If you could use the Powerglove 2.0 as a standalone game player for Wii, Wii U and Nintendo DS games and the glove is priced respectively to the console and DS markets it would considerably increase the value of owning the Powerglove 2.0. You could even play augmented reality games like laser tag with your friends. The applications already exist and the Powerglove 2.0 would be an ideal vessel for many of them.

 

In all likelihood under the current conditions of Nintendo and its newest console I would have to say the appearance of a new and improved Powerglove is not happening anytime soon. If done properly the Powerglove 2.0 could potentially be a huge hit for Nintendo. The cost of research and development for the Powerglove 2.0 definitely makes it a financial risk for Nintendo but if done right I think it could be one of the greatest gaming devices this generation. Overall something crazy like the resurgence of a new and improved Powerglove and targeting a slightly older audience are elements that could give Nintendo the spark it needs to excite console gamers again. In this era of the Oculus Rift where we are on the verge of having actual virtual reality in our homes something like the Powerglove 2.0 has the potential to give Nintendo a much needed relevance boost in the current console market.

 

-Z3R0TH3RT33N

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The Wonderful 101

Sorry for the delay on the follow up for the last Nintendo Direct but I had trouble tracking this one down. The latest Nintendo Direct highlights a new Wii U exclusive game called The Wonderful 101. A game about 100 unique superheros. I assume that the final “1” is either a hidden character or a way of saying the actual player is the final hero in the game. The art style is cartoonish in the vein of Viewtiful Joe if you have ever seen that series.

 

You start out with a handful of superheros and go throughout the game unlocking more superheros as you progress. Each hero brings an individual ability/personality to your group as well as makes your group stronger. During gameplay all of your unlocked superheros are present on screen and they move in a mob. New powers and abilities are unlocked and can be upgraded throughout the game like the ability to summon giant swords or hammers. The actual characters you control become the weapons you create to fight giant monsters. Your abilities are also used for solving puzzles for instance making giant ladders or bridges. The different abilities are activated when the player draws a simple specific design into the center of their gamepad.

 

The overall tone of the game is very over the top. The trailer for the game was kind of like a Dexter’s Laboratory crossover with the Powerpuff Girls with lots of references to current superhero movies. Dexter’s Laboratory kept popping up in my head because I am pretty sure Wonderful “Green” is voiced by the same actor as Dexter was. The pacing of the trailer was very similar to that of the Powerpuff Girls and the villains seemed very similar with one villain almost like a robotic female version of Mojo Jojo. In fact the whole game feels like it could have been a show on Cartoon Network during the same time as Dexter and the Girls.

 

While the game has an obvious cartoon presentation it is a little hard to figure out who this game is supposed to be marketed to. The Wonder Pink character comes off as a Russian dominatrix. She wears pink leather, carries a whip and during her superhero transformation she actually says “bad boy, time for a little punishment.” Wonder Pink also contributes a giant pink whip to the team that you can use to fight enemies and navigate levels. The overall gameplay of Wonderful 101 looks like a platformer with some puzzle solving and instead of controlling one character you control a mob of characters.

 

-Z3R0TH3RT33N

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Nintendo Woes

I am not sure if you know this, but Nintendo has a new console. In fact they have had a new console on the market for about nine months now. The console is called the Wii U. Which is actually similar to the sound a child makes when they are impersonating an ambulance siren. This is kind of a fitting analogy because the Wii U for all intents and purposes is getting very close to being put on life support. ( Brace yourself because here comes a few sales figures. I know its like math but I simplified it you’ll be fine. ) Since its release last November the Wii U has posted sales of about 3.6 million units worldwide. To put things into perspective Nintendo’s previous console the Wii sold 9.3 million units in the same amount of time. If you compare unit sales between December 31st and June 30th of their respective launch years the Wii sold just over 6 million units while the Wii U has sold about 550 thousand units. These numbers are fairly troublesome for a company that wishes to stay relevant in a market where Microsoft and Sony are poised to release two of the most anticipated video game consoles ever this fall. Pre-orders are selling out world wide for both the PS4 and the XBOX One, ( Although it has been documented that Microsoft is intentionally giving retailers smaller inventory of the XBOX One to boost demand. ) there is a lot of hype for these consoles.

 

E3 ( Electronic Entertainment Expo ) was a major publicity event this year for both Sony and Microsoft. Whether it was the surreal moment at the end of Sony’s conference where they openly took shots at Microsoft’s unpopular and poorly explained DRM ( Digital Rights Management ) policies or some very bone headed comments by the then President of Interactive Entertainment at Microsoft Don Mattrick, the XBOX One and the PS4 were all anyone could talk about. E3 is a platform that all video game developers use to publicize new software and hardware for consumers and investors alike to be aware of and excited for.

 

Nintendo has held a conference every year at E3 since the very first E3 in 1995. This year however Nintendo decided instead of a conference at E3 they would air a special pre-taped event about upcoming software and hardware on their Nintendo Direct internet channel. While Nintendo did have a presence at E3 this year, not having a conference feels like a major misstep for the videogames legend. The special Nintendo Direct event underwhelmed most viewers with one of the highlights being Nintendo executives coming out in cutesy cat suits to make light of a new feature coming to a new Super Mario game. I have read that the games actually shown on the floor at E3 were solid games, but without the impact of the E3 conference its hard to think that the games are all that good. If the games are so great why couldn’t they have been shown off at a conference, just like Sony and Microsoft do every year and like Nintendo has done every year before this one?

 

E3 for those of you who are unaware is the Super Bowl of video gaming to many people. There are many other platforms during the year where companies show off videogames and related hardware worldwide but E3 is usually where the big names in gaming bring out the big guns and show off their latest and greatest projects. Few, if any, videogame related events receive anything near the media attention that E3 receives every year and this year was pretty big with the PS4 and XBOX One coming out this fall. Not doing a conference is an acknowledgement, be it conscious or otherwise, that Nintendo doesn’t believe its console can compete with Sony and Microsoft.

 

For Nintendo to remain relevant they have to appear in full force at E3. They can’t opt out of their annual conference to do a “Nintendo Direct” broadcast. Whether its true or not this seems like an action of surrender. The mindset seems to be that they are OK with Microsoft and Sony grabbing the majority of the video game market as long as the the hardcore Nintendo fans keep supporting them. Titles like Mario and Zelda have large drawing power and respectfully are videogame legends, few titles have lasted half as long and still managed to be relevant.

 

The problem is Nintendo only has a handful of these types of exclusive titles. These games are great in their own respects but Nintendo’s apparent refusal to evolve these titles or to develop new IP’s ( Intellectual Properties ) are definitely points of concern. We all love Mario but people are burning out on him. Mario games seem relatively the same since the Super Nintendo days, only now the games have updated graphics and ( sigh ) magic cat suits. Their have been tweaks to the level designs and presentation and the differences may be substantial to the people who actually play them but to people on the outside looking in these games appear more and more like the same old thing. At least Link has received several different character designs over the years to help distinguish one game from the next.

 

The issue isn’t with Mario so much as it is with Nintendo relying so heavily on tired franchises. By the end of this year there will have been 5 Zelda games and 4 Super Mario games released in the last 2 years! Meanwhile 3rd party developers are getting very hesitant to create anything new for the Wii U. Earlier this year an executive for EA ( Electronic Arts ) actually went as far as to say publicly that the console was “crap” and as of right now EA has nothing in development for the Wii U. Most of the 3rd party titles coming to the Wii U right now are bad ports of games from other consoles. Many features like online multiplayer aren’t even being developed for games on the Wii U. Most recently Warner Bros has stated that their upcoming Batman: Arkham Origins for the Wii U will not have online multiplayer capabilities because they want to concentrate development for the largest online multiplayer audiences possible. To add insult to injury large retailers around the world are pulling the Wii U from their shelves in favor of “consoles that actually sell.” ASDA a Wal-Mart subsidiary and one of the U.K.’s largest retail chains will no longer offer the Wii U in their stores. Some Wii U games may still be available in store but if you want the console it will now have to be ordered online from the ASDA website.

 

Another reason why a proper E3 conference was and is so important to the Nintendo brand is that many people think that the Wii U is just a new controller for the old Wii. The fact that Nintendo has failed to properly explain the Wii U to the mass market as a brand new console is unforgivable. This year’s E3 was Nintendo’s chance to clarify to the world what the Wii U is all about and what kind of future consumers can expect with the new console. Instead they chose to stream a special on their own Nintendo Direct of which most casual gamers outside of Nintendo have never heard of or for that matter know how to access. If Nintendo’s faith is in the casual gaming market because of the success of the original Wii then why were the casual gamers excluded? Casual gamers are not looking up a special feed to watch Nintendo’s pre-recorded Direct event.

 

The Wii U itself doesn’t exactly have the highest specs for a console and will be considerably under-powered compared to the XBOX One and PS4. However the Wii U does support full 1080p high definition graphics and comes with an interesting tablet style controller that has a large screen built into the center. The Wii U only has 32 gigabytes of memory but the controller has multiple motion gaming capabilities and other features such as a built in camera. Since basically the dawn of home videogame consoles the console with the highest specs  has rarely won the so called “console wars.” The console with the “killer app” is almost always the one that wins the majority of the market share. In earlier years it was exclusive games like the original Super Mario, or Sonic the Hedgehog that helped a console sell. Nintendo themselves proved one of the most recent examples with the original Wii. The Wii didn’t even have high definition graphics and yet for a while it was outselling its competition at a factor of 6:1.

 

If the Wii U fails is it possible that Nintendo could leave the console market all-together and concentrate solely on software development? Its not likely as of right now. It is possible that the Wii U is mid swan song and if nothing substantial happens with the console soon it could very well be on its way out. Nintendo does have one card up its sleeve though. The Nintendo 3DS is one of the best selling handheld gaming devices of all time. Amazon reported that pre-orders for the handheld doubled that of the Wii in some regions. Currently the 3DS has an install base of about 33 million units. The question now is if the Wii U tanks will Nintendo forget about competing in the home console market and concentrate only on handheld gaming? Maybe Nintendo could use the profits from the 3DS to develop an all new console. Chances are that Nintendo spent a significant amount of money developing the Wii U and that could understandably make them weary of immediately developing a new console even if they can afford it.

 

Most recently Nintendo has released Pikmin 3, a long anticipated sequel to the 2004 Nintendo Gamecube game Pikmin 2. Pikmin 3 does seem popular with Nintendo fans right now and is helping to move some consoles. Something to consider is that even if Pikmin 3 does become a hit, with the high cost of videogame development and the relatively small install base of the Wii U will the success be enough to lure other developers to the console? The Wii U is navigating troubled waters right now. Their is a lot of hype for the PS4 and XBOX One coming out this fall. Nintendo has to bring out the heavy artillery if they want to remain relevant in the home console market and I fear Mario just isn’t enough anymore. For Nintendo this holiday season could be particularly cold.

 

-Z3R0TH3RT33N

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