Skip to main content
  1. Home
  2. Gaming
  3. News

Nintendo promises more games now that the Wii U developers have finally “reached the next stage”

Anthony John Agnello
By
Yarn Yoshi

Nintendo held its regular investor question and answer session following last week’s earnings report. President Satoru Iwata, director Genyo Takeda, and creative lead Shigeru Miyamoto addressed questions about the Wii U’s perceived power in comparison to other game consoles and the progress of its internal development teams. With expectations for total Wii U sales lowered to 4 million before the end of the fiscal year in March—down from the previously expected 5 million consoles—Nintendo needs new games to push the system.

There are many new Wii U games in development including new entries in best-selling series like Mario Kart. Those games are far from release though, and investors are curious as to what’s taking Nintendo’s teams so long to produce product. The answer, according to Iwata, is that Nintendo’s teams are only now getting a firm grip on the Wii U hardware.

“[Each] game console has its own unique qualities, and developers must go through a trial and error phase to acquire the knack of taking full advantage of them,” said Iwata, “This time does not come until a final version of the hardware and development tools for the version have been made available and then a base for software development has been established. For Wii U, such a time finally came in the latter half of last year. In this sense, we could not avoid the trial and error stage to create games which take full advantage of the hardware.

“We believe that our in-house development teams have almost reached the next stage. It is not true that we are deadlocked with a lot of trouble in our development. Otherwise, we could not aim for 100 billion yen (around $1 billion) or more in operating profit for the next fiscal year.”

As of now, Nintendo is expecting profits of just $154 million for the fiscal year that ends in March. That’s an improvement over the $530 million loss Nintendo recorded in the last fiscal year but still far from the proposed $1 billion it hopes to earn by the end of next year.

Nintendo will have to rely heavily on the quality of its internally developed titles for those profits as third party developers like Electronic Arts are turning their attention to the next consoles from Sony and Microsoft. During EA’s own earnings report on Jan. 30, CEO John Riccietiello said that the publisher is increasing investment in “what’s coming in consumer electronics” and turning away from current technology. Nintendo’s investors have to hope that Iwata is not exaggerating his developers’ progress.

Editors' Recommendations

Topics
The best upcoming Nintendo Switch games: 2023 and beyond
Pikmin 4 release date

The Nintendo Switch is one of the most popular consoles Nintendo has ever produced, with a wide variety of games to choose from and plenty of unique features. We’ve already gotten to play new entries across the Zelda, Super Mario, and Pokémon series on Nintendo Switch, but there are still plenty of great games on the way for the hybrid console. These include exclusive games developed internally by Nintendo, as well as third-party titles and ports also available on other platforms.

There are lots of games to look forward to on the platform. These are the best upcoming Nintendo Switch games for 2023 and beyond.

Read more
The best multiplayer games on Nintendo Switch
Mario and his friends.

Part of the Nintendo Switch's appeal is its versatility -- you can play it at home on your TV or on the go in portable mode. This versatility also applies to multiplayer and co-op games, which can be played with single Joy-Con controllers, in tabletop mode, and wirelessly both online and locally. Better yet, many of these Nintendo Switch games allow for crossplay with other consoles and PCs.

And while the Switch might not be the competitive powerhouse that the PlayStation 5 and Xbox Series X are, it still offers an incredible library of multiplayer games. In fact, the portable console is home to some of the best co-op experiences we've seen in this generation, and new competitive games are being added all the time. Here are our favorites, whether you're a fan of raucous racing games, mellow simulators, or monster-hunting titles of the finest caliber.
The best multiplayer games on Nintendo Switch

Read more
Don’t expect Zelda’s $70 price to become the new Switch standard, says Nintendo
Link looks at his hand in The Legend of Zelda: Tears of the Kingdom.

The Legend of Zelda: Tears of the Kingdom will be Nintendo's first Switch game to be priced at $70. News that Tears of the Kingdom, a sequel to one of the bestselling and most critically acclaimed titles on the system, will have an increased price compared to its predecessor came as a surprise over three-and-a-half years after its announcement. It also raised questions about what the future of pricing for Nintendo games will be, especially as Sony, Microsoft, and third-party publishers all upped the cost of their new games in recent years. 
While Nintendo will release Tears of Kingdom at $70, a spokesperson for the company tells Digital Trends that this will not always be the case for its first-party games going forward. 
"No," the spokesperson said when Digital Trends asked if this is a new standard. "We determine the suggested retail price for any Nintendo product on a case-by-case basis." 
The Legend of Zelda: Tears of the Kingdom – Official Trailer #2
To get more insight into the price shift, I spoke to Omdia Principal Analyst George Jijiashvili, who explains what has caused the price of games to go up in recent years and how Tears of the Kingdom demonstrates that Nintendo will "remain flexible about first-party title pricing." Ultimately, Nintendo fans are finally starting to feel the impact of inflation that's been sweeping across the game industry, even if it's only "on a case-by-case basis" for now.
The price is right
Nintendo claims that not every one of its significant first-party game will be $70, and we can actually already see that in action. Preorders just went live for Pikmin 4, which launches on July 21, after Tears of the Kingdom, and it only costs $60. Still, Zelda's price tag indicates that going forward, Nintendo will at least consider raising the price of its most anticipated games to $70. But why start with Tears of the Kingdom?  
When asked why it chose Tears of the Kingdom as its first $70 Nintendo Switch game, a Nintendo spokesperson simply reiterated that the company will "determine the suggested retail price for any Nintendo product on a case-by-case basis." Still, it's a surprising choice for Nintendo to make that pricing change to just one exclusive game almost six years into the Switch's life span. Jijiashvili thinks the choice to do this with Tears of the Kingdom was a pretty apparent one for Nintendo, although it won't apply to everything going forward.
"If you are going to make a game $70, it's going to be the follow-up to one of your most critically acclaimed and bestselling games ever," Jijiashvili tells Digital Trends. "I don’t think that this means that $70 will become the standard price for all major Nintendo releases. It's worth noting that Metroid Prime Remastered is priced at $40. It's clear that Nintendo will remain flexible about first-party title pricing."

It makes basic financial sense for Nintendo to ask for a little bit more for a game it knows will be one of the biggest releases of 2023. But what factors in the game industry and world's economy at large caused Nintendo to make this decision? 
Priced Out
For more than a decade, people got comfortable with AAA video games being priced at $60. Of course, there were occasional exceptions to this rule, but it was seen as an industry standard until the dawn of the PlayStation 5 and Xbox Series X. Publisher 2K was one of the first to announce a price increase, and companies like EA, Sony, and Microsoft have all followed suit. Jijiashvili chalks this up to inflation-related pressure on game publishers.
"The games industry has already been experiencing a lot of inflationary pressure," he explains. "AAA games are much more expensive to make now than they used to be, but prices have actually been declining in inflation-adjusted terms -- if prices had risen with inflation since 1990, they would now be over $90. On top of that, we’ve had a big burst of general inflation, meaning that publishers are looking at big increases in everything from salaries to tools. It’s going to be really hard for most publishers to avoid passing on all those extra costs at some point."
Jijiashvili provided us with a graphic created by Omdia that "shows what the typical price points for each generation would look like if you adjusted for inflation." As you can see, the inflation-adjusted prices are only exponentially growing, and the big game pricing shifts the graph highlights were all technically not even enough to keep up with inflation when they happened. 

Read more