Nintendo is in the same position as Sony was beging of this gen with the PS3.
They just had a ****** huge console and handheld success, and their shareholders expect growth from that.(capitalism 101, grow or die)
In reality those ******** huge successes are very random, and expecting something even bigger puts Nintendo in a horrible position with their shareholders
dercoo
The big problem is that Nintendo is not in as good of a position as Sony to hold their ground during a hard time. Sony makes billions of dollars a year through all their products, patent royalties, services, component sales to other manufacturers, etc. so they could afford to endure the PS3's growing pains until it was profitable. The same goes with Microsoft, who didn't even make a profit off of the Xbox brand until after the Xbox 360 was released. These mega corps are in a much more comfortable spot to invest in game consoles that meet the high demand of todays consumers and game designers, and since Nintendo only makes games, it's difficult for them to afford the kind of R&D and manufacturing costs it takes to make a high-spec game system and sell it at a loss.
Nintendo was the best there was at making game systems in the 80s through the mid 90s, but they are really the last of their kind. It's amazing that Nintendo has managed to out-last Atari and Sony as long as they have, but I don't think it's going to last forever, and they've been feeling the hurt ever since they burned all their bridges with CD-manufacturing partners and launched the N64 with a cartridge slot instead of a disc drive. Nintendo has always been a generation behind in a lot of ways, and as much as it will pain a lot of people, I think we're eventually going to get to the point where only big electronics companies can afford to make game consoles.
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