Nintendo Sets DS Ship Targets as Profits Tumble

Portable figures released – exchange rate blamed for cash slump.

Posted by Staff
Nintendo Sets DS Ship Targets as Profits Tumble
Nintendo Japan has released the first predicted shipping figures for its hotly-anticipated DS portable, due to hit Japan and the US this winter, followed by a European roll-out in Easter 2005.

In line with Game Boy Advance and GBA SP shipments, Nintendo anticipates bringing 3.5 million DS units to market for all three territories - interestingly more than Sony Computer Entertainments PSP projected ship rate of three million units.

In other news, Nintendo has seen its profits halved in the latest section of rollercoaster financial projections released by the firm. Regular readers of SPOnG will know that Nintendo has seen fit to adjust its expected financials on a near constant basis as global currency markets fluctuate. This situation, compounded by slower than expected GameCube sales, has resulted in a revised bottom line operating profit figure of 33.2 billion yen.

However, this is unlikely to worry Nintendo’s shareholders or the wider market. The Kyoto giant is in the ascendancy, following a triumphant E3 showing at which it took the PR lead from Sony as the next-generation of portables is readied.

It’s also worth mentioning that Nintendo still sits astride a Pokemon-generated cash mountain of around three billion dollars.
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Comments

smagic 27 May 2004 10:59
1/16
Who thinks that nintendo will pull off another dazzler and defeat sony. The psp does look tasty but you've got to realise that the good old boys at ninty don't plan on loosing either. You only have to look at all the competition of the original gameboy to remember that hardware isn't what it's all about it's the games. They killed the gamegear,lynx,and the neogeo pocket.
Joji 27 May 2004 11:27
2/16
That's right smagic, hand helds are less about graphics and more about games. Games are Nintendo's life blood I really don't think they will loose this one. They have learned from the N64 and GC mistakes, and know that to let Sony dominate this sector too could be suicide for them.

Sony have done well now with two machines, and Nintendo underestimated their clout and consumers minds, I'm sure his won't happen a third time, but us gamers will decide that.
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schnide 27 May 2004 11:28
3/16
Yes, that's an excellent comment.

Hey, do you think Nintendo planned on losing with the SNES CD, Nintendo 64, Gamecube, e-reader or Virtual Boy?

The DS looks terrible in my opinion, regardless of whatever Sony might be doing. Pokemon will only keep them reputable for so long.
smagic 27 May 2004 11:42
4/16
well when i first saw pictures of the gamecube i thought it was butt ugly i still went out and bought one. PSP might be alot better looking but if the batteries don't last very long due to the motor on the umd drive eating all the soup........

I remember when i had a game gear and i just couldn't stand it most of the time it was plugged in the wall. If the psp turns out with the same problems then it will be crippled.

And what about the vibrations coming from the disc ever considered that? Its slim to there aint much room to drown the noise and vibration of the motor out.

If DS is cartridge based i recon that will play to it's favor as it will be small and durable.
You can carry are cartridge without the case and it will be fine but these umd's sure as hell won't.
If ppl are to be going to be carrying these things round they don't want them to scratch in their pocket.
What about the screen? If the ds folds then it's well protected unlike the psp.

No i'm not a zealot i own all the machines. My first opinion was similar to yours but i changed my mind.

Nintendo need to fit the gameboy brand somewhere in the name then then people will lap it up as its a household name.
Joji 27 May 2004 11:57
5/16
The SNES CD never failed, it just never came to be. E card reader was more of a niche product aimed at kids who like trading cards, therefore it wasn't for everyone.

Virtual Boy failed because of the hyped VR band wagon of the time, bad tech and Nintendo not being sure if they wanted it to be a home console or not.

N64 failed coz it wasn't cd based, and got out late.

GC is currently in problems because again in got out late, and on top of that has MS and Sony to deal with this time, instead of just Sony in N64 days

Pride they say comes before a fall, and boy have nintendo fallen over the years. However you can only fall so far before you start climbing again. And building success on the ashes of your mistakes
Fridge 27 May 2004 12:01
6/16
The Guardian's got the results of some brand survey on its website today. Apparently the four brands with the most 'momentum' are all tech companies (Ebay, Amazon, Nokia and... something else). The Royal Mail are number one in the worst performing brands, followed by Sega at two and Nintendo at four...

It doesn't mean much, but does show that Nintendo have a massive brand image problem in the UK at the moment, and that's certainly not going to help the launch of a new product.

(PS. Playstation's still in the top ten best performing brands...)
smagic 27 May 2004 12:02
7/16
from what i can recall the snes cd was a joint venture between sony and nintendo. They had a disagreement and sony ended up releasing their own console that has come to be known as the playstation. So it never failed it just wasn't owned by nintendo.
schnide 27 May 2004 13:06
8/16
Joji wrote:

>The SNES CD never failed, it just never came to
>be.

The project failed - with Sony taking it over and becoming the market leader with Nintendo currently trailing last.

>E card reader was more of a niche product
>aimed at kids who like trading cards, therefore
>it wasn't for everyone.

Big success then was it? Then it failed.

>Virtual Boy failed
>because of the hyped VR band wagon of the time,
>bad tech and Nintendo not being sure if they
>wanted it to be a home console or not.

Then it failed.

>N64
>failed coz it wasn't cd based, and got out
>late.

Then it failed.

>GC is currently in problems because
>again in got out late, and on top of that has MS
>and Sony to deal with this time, instead of just
>Sony in N64 days

It's failing..

>Pride they say comes before a
>fall, and boy have nintendo fallen over the
>years. However you can only fall so far before
>you start climbing again.

Unless you fall and don't get up. Nintendo are lucky in that they have a massive cashpile to fall back on and a wealth of IP, but both will only last so long. Even Nintendo themselves have admitted that their next moves will make or break them and I'd put money on which it's going to be.
Brown Force 27 May 2004 13:11
9/16
Well I have to admit, I was shocked at how well and how good the PSP looked at E3. To me it didn't stand a chance against Nintendo, but seeing it changed my mind.

This is going to a much closer battle than more people thought, but I think in the end Nintendo will edge it. Nintendo know how to make quality games with gameplay in mind and because they have a Graphics engine similar to N64, it means less time can be spent on dazzling graphics and more time on the meat of the game.

On the flip side the PSP is opposite to this. Along with how fragile it will be and battery life, games are going to be just as exspensive to create and complicated. And if the PSP doesn't get a flying launch and seriously out sell the DS from week one, then Developers might stick to the PS2 as the profits may not be enough to keep them supporting.

I really don't know what to exspect at the moment, it really seems to me, regardless of how much backing PSP gets from Journalist, that the DS has the edge before the launch, there are just so many things that can go wrong for the PSP. But if you think about it though, Nintendo will win in the end if PSP doesn't dominate the SP and DS...because Nintendo will be releasing the GBA2 in a few years too. Intrigueing...
Joji 27 May 2004 13:31
10/16
Cheers for correcting me smagic. Sony and Nintendo could have been so good together, but it's worked anyway. PS is a success, and the rest is history. I think it's those Nintendo old foggies at the top that played a part in this bad SNES CD decision, they might still be effecting Nintendo's fortunes now.

Think about it, first cd were reluctantly accepted even though they've been around since the 70's as a medium. This bring us up to date with GC, which again is reluctant to go online, doing it in a very half hearted way . This speaks volumes to the customer, who then vote with their feet. This lot seems like something my old mum would do, because she's doesn't know how to work cd's or go online, so she opts for carts instead and no online functions. I think these old timers are taking Nintendo backwards, while trying to desperately cling to their jobs, since there's no such thing as a job for life anymore. (I'm mean home systems by the way)

I think Sony and MS has more young blood thinkers, and that's one of the reasons they are where they are.

This next round is Nintendo's 4th Strike but to coin a phrase from a game title. What they do next is vital after being hit twice with playstation and now with Xbox. DS has to gain them some ground, cause they can't let MS and Sony cross the moat and breach the hand held sector gates, the last fort they hold dear. Sony will get inside anyway, but they musn't submit all of it to them.

"Go for Broke, Triumph or die" (as is said before you fight in SF:3rd Strike).
smagic 27 May 2004 13:44
11/16
i know what you mean joji it's seemed like nintendo has been acting like the old man of the office who doesn't want to change. Perhaps they do need some young blood such as a president who is not almost drawing has pension who can take onboard all the exciting prospects new technology has to offer. We know that nintendo's emphasis is on gaming but it the end they have to start listening to consumer demand. It would have been nice had they had there own alternative to online console gaming. Some ideas are worth copying as well as having your own original ideas.

I don't think nintendo still haven't been able to shake of the kiddy console image ever since the cube was launched even though there are adult games for it too.
mrnull 27 May 2004 16:36
12/16
The Big "N" will do fine. If there's anything failure leads to, it's innovation. My fondest SEGA memories are from the Dreamcast, quite a console: online out-of-the-box, awesome save cards (VMUs), and innovative games. I think Nintendo needs to get a little more daring!

Whle the dreamcast failed (Because the heads waited to long,) Nintendo does have a mountain of cash to keep them floating. The problem is that they've used their GameBoy sales as a safety net to avoid change. They should be using it as a backing to try something new!

I think that brandname recognition (the DS will probably end up with "GameBoy" something or other in the title), the ability to create their own quality games, and the amazing concepts they've come up with for the DS will put them in the lead.
schnide 28 May 2004 08:47
13/16
mrnull wrote:

>The Big "N" will do fine. If there's anything
>failure leads to, it's innovation.

Or: bankruptcy. Clearly no-one else here did economics at school..

Take off the rose-tinted glasses guys, Nintendo is seriously losing the console war regardless of it's finances. If Microsoft can enter the market with relatively no gaming experience and beat Nintendo to number 2 then someone has to pull their finger out.
TigerUppercut 1 Jun 2004 08:42
14/16
schnide wrote:

>Or: bankruptcy. Clearly no-one else here did
>economics at school..

Nintendo has three billion banked. It could release a rubber dogshit with a balloon tied to it and not have it impact in any way at all.
>
>Take off the rose-tinted glasses guys, Nintendo
>is seriously losing the console war regardless of
>it's finances. If Microsoft can enter the market
>with relatively no gaming experience and beat
>Nintendo to number 2 then someone has to pull
>their finger out.

The whole number 2 thing is bullshit. Nintendo and MS both announced they were in the number two slot? World of lies!
TigerUppercut 1 Jun 2004 08:51
15/16
Recent global sales on key Nintendo titles:

Pokemon Ruby - 12.78 millions
Mario Advance 4 - 2.59 millions
Mario Kart Double Dash!! - 3.58 millions
Mario Party 5 - 1.64 millions
Legend of Zelda: -millions 3.33 millions

Yes, I bet Nintendo is quaking in its boots.

TigerUppercut 1 Jun 2004 08:53
16/16
And some more:

Super Mario series
Handheld: 9 titles, 54 million copies
Console: 10 titles, 102 million copies
Total: 174 million copies

Legend of Zelda series
Handheld: 5 titles, 12 million copies
Console: 7 titles, 30 million copies
Total: 42 million copies

Donkey Kong series
Handheld: 7 titles, 15 million copies
Console: 10 titles, 28 million copies
Total: 43 million copies

Pokemon series
Handheld: 11 titles, 91 million copies

Nintendo - Clearly doomed.
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