Nintendo’s Stock Drops and Iwata Loses Money

In response to yesterday’s phenomally large price drop for Nintendo’s 3DS handheld all kinds of people at Nintendo are now oodles of cash. In addition to the handheld now losing money on every device sold, Iwata himself and other executives are taking large paycuts. Iwata is taking  the brunt of the blow with a whopping 50% cut to his normal 2 million a year salary, other executives are taking 30% cuts while some are taking 20% cuts.

That’s  not all though, Nintendo’s last president before Mr. Iwata was a man named Hiroshi Yamauchi. He is the currently the largest shareholder in Nintendo stock, and he lost about 500 million dollars due to a 21% decrease in the value of Nintendo stock. While none of this points to Nintendo going away soon, it does show that if they don’t get their act together and start selling some consoles they may revert back to the Game Cube era or worse we may be seeing some Mario games on Sony and Microsoft’s respective consoles in the far flung future.

I know we have a lot of Nintendo fans in the community so I was wondering how many of you would feel about a publisher only future for Nintendo. I think they would have a much better time that Sega, but would you lose any of the magic playing a Zelda game on a PS3?

(Giantbomb and Gameinformer)

17 thoughts on “Nintendo’s Stock Drops and Iwata Loses Money”

  1. I think it’s a little too early to be thinking about Nintendo going third party, really. I mean, they’re a company, and companies make mistakes. Just as long as they don’t go the way of the Capcom, I think we’ll be alright.

    That said, playing a Nintendo game on a PS3 or 360 just feels…wrong. Although I know people thought the same thing about Sega, so…

    Also, yeah, I agree – Iwata taking a cut in his pay so that they don’t have to downsize or fire a bunch of people is pretty gutsy and classy. I hope sales go up so we can thank him!

  2. Remember when the Virtual Boy bombed and Super Mario 64 was released on the PS1? Yeah, me neither.

    Sarcasm aside, I can see that as a possibility just as it happened with Sega and Atari. But I just don’t think so. Unless some other major misteps happen *cough*WiiU only supports one of the new controllers*cough* I don’t see them dropping out of consoles all together. The stock drop shows a shaken faith towards them. It happens to every company when a mistake is acknowledged or a major, unplanned change that costs the company money occurs. Just business as usual.

  3. A game isn’t good or bad because it’s on a specific system.

    I can imagine a Zelda game on the PS3 that would be just as good as Zelda Wind Waker or Twilight Princess. Just look at 3D Dot Game Heroes. Excellent Zelda-esque game for the PS3. A Zelda game could potentially do just as well if it would be made well.

    Of course, there would be massive backlash from fans and the media would jump on it if this would ever happen. I’m sure some diehard Nintendo fans out there would start screaming and swearing that they’ll never buy another Nintendo game again, so I don’t think that this is ever going to happen. Even if for whatever reason Nintendo wanted to put one of their games on another system, I don’t know if they’d want to risk all that trouble, but who knows?

    1. Well in my hypothetical scenario I am assuming that there is no Nintendo console to put the game on because their consoles weren’t selling well enough but. Unlikely but possible if they don’t get it together. Happened to Sega.

  4. First off hats off to Iwata for taking a pay-cut instead of the normal CEO reaction of layoff 50% of employees

    Also people are blowing this money loss out of proportion and forgetting that this year Nintendo, launched a new handheld, is developing a new super powered console with a complicated and expensive to develop controller, are working on creating games for that system and the 3DS, and still trying to finish the last few wii and Ds games

    All this money they lost is not solely due to the lack of 3DS sales and lack of new wii games but the fact they they spent alot of money this year developing a console that they can’t really profit heavily from until next year

    1. I think my concern is that the Wii U is going to flop. Signs are pointing to only one of those controllers working per console. Leaving everyone else to use wiimotes and limiting the multiplayer possibilities heavily.

      1. It’ll probably flop if they release it as it is right now. Nintendo needs to redesign the console so it doesn’t look like a Wii, Drop the Wii name, and make it so 4 of the new controllers will work on it (and possibly redesign the controller). Then they might have a good chance of selling consoles.

        I say that because if a common consumer walks through a store and says “Huh A Wii U, what is it?” they’ll probably think its the same system just with a new controller. Then they’ll think “Why would I need that, I already have a Wii” and pass it up. Again this will probably be the case for the common uninformed consumer, the market Nintendo is currently targeting.

        1. Hmm, my thoughts exactly. However, they’re also trying to regain the hardcore audience, so that might also help. I do think they should have the four new controllers, plus four old controllers. Even better, they could come out with a VC for gamecube games. It’s possible, especially since XBL can sell old Xbox games for the 360

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