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Fortune Magazine: How Nintendo is beating Sony and Microsoft
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<blockquote data-quote="Vigilance" data-source="post: 3570438" data-attributes="member: 4275"><p>Oh they've done those comparisons too. </p><p></p><p>The Wii has outsold every console ever in its first 6 months, even the PS 2.</p><p></p><p><a href="http://www.informationarbitrage.com/2007/05/nintendo_wii_a_.html" target="_blank">http://www.informationarbitrage.com/2007/05/nintendo_wii_a_.html</a></p><p></p><p></p><p></p><p>No, it's the growth curve everyone is looking at with a raised eyebrow. Of course the install base of the 360 is larger. If you run unopposed for more than a year and get passed in a few months (remember the Wii only debuted at November of last year) then you have flopped.</p><p></p><p>But right now Wii's are selling at twice the pace of the 360. If they can maintain that for awhile, they will pass them. </p><p></p><p>Also, these guys are looking at the worldwide market. The Wii is selling at twice the pace of the 360 here. In Japan, Wiis are selling at something like twenty times the pace of the 360. </p><p></p><p></p><p></p><p>I disagree, and I think one reason the analysts are thinking this might not happen is looking at the DS. They dismissed the DS as "a gimmick" when compared to the PSP. The PSP has more bells and whistles, is more of a multimedia device, and is much more expensive. </p><p></p><p>And the DS is cleaning its clock. </p><p></p><p></p><p></p><p>I think Sony would be willing to pull the plug on the PS2 and eat the loss (lord knows it's losing billions in the gaming division already) but Sony is in a weird spot where developers just aren't making many games for the PS3. So they risk losing even more market share if the PS2 leaves the new games picture. </p><p></p><p></p><p></p><p>I think what we're already seeing is exactly what happened with the DS. Some third parties supported it early, most didn't, but then the install base got so big, they had to, and then there was a flood of 3rd party games.</p><p></p><p>We're already hearing rumblings that this is happening with the Wii. Just about every 3rd party company has promised more support for the console. </p><p></p><p>Games might sell consoles, but the console is ALREADY selling. And the inverse is also true. Developers are happy to develop for any console that has a large install base. Especially one without a lot of competition, and one that is the cheapest console to develop for. </p><p></p><p>In other words, based on its controller or not (and again you could say exactly the same thing about the single fastest selling console in the world- the DS- and a lot of folks did), I expect to see a lot of 3rd parties make good on their recent promises to support the Wii and its install base, which is still growing, and growing faster than any other console.</p><p></p><p>Chuck</p></blockquote><p></p>
[QUOTE="Vigilance, post: 3570438, member: 4275"] Oh they've done those comparisons too. The Wii has outsold every console ever in its first 6 months, even the PS 2. [url]http://www.informationarbitrage.com/2007/05/nintendo_wii_a_.html[/url] No, it's the growth curve everyone is looking at with a raised eyebrow. Of course the install base of the 360 is larger. If you run unopposed for more than a year and get passed in a few months (remember the Wii only debuted at November of last year) then you have flopped. But right now Wii's are selling at twice the pace of the 360. If they can maintain that for awhile, they will pass them. Also, these guys are looking at the worldwide market. The Wii is selling at twice the pace of the 360 here. In Japan, Wiis are selling at something like twenty times the pace of the 360. I disagree, and I think one reason the analysts are thinking this might not happen is looking at the DS. They dismissed the DS as "a gimmick" when compared to the PSP. The PSP has more bells and whistles, is more of a multimedia device, and is much more expensive. And the DS is cleaning its clock. I think Sony would be willing to pull the plug on the PS2 and eat the loss (lord knows it's losing billions in the gaming division already) but Sony is in a weird spot where developers just aren't making many games for the PS3. So they risk losing even more market share if the PS2 leaves the new games picture. I think what we're already seeing is exactly what happened with the DS. Some third parties supported it early, most didn't, but then the install base got so big, they had to, and then there was a flood of 3rd party games. We're already hearing rumblings that this is happening with the Wii. Just about every 3rd party company has promised more support for the console. Games might sell consoles, but the console is ALREADY selling. And the inverse is also true. Developers are happy to develop for any console that has a large install base. Especially one without a lot of competition, and one that is the cheapest console to develop for. In other words, based on its controller or not (and again you could say exactly the same thing about the single fastest selling console in the world- the DS- and a lot of folks did), I expect to see a lot of 3rd parties make good on their recent promises to support the Wii and its install base, which is still growing, and growing faster than any other console. Chuck [/QUOTE]
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