Sunday, April 3, 2011

Nintendo Entering the Cell Phone Market?

An article from cnn.com takes a look at big time video game companies entering the cell phone market. The article focuses on the fact that Nintendo isn't showing any interest in the cell phone market. There are a lot of roadblocks in allying oneself with a cell phone company. You have to split revenue with them, which might cause a video game company to increase their game prices. On the flip side of that, adding cell phone capability to a portable game system seems like a very profitable idea. It would open up portable gaming to a whole new audience that might never pick up a game console otherwise. Nintendo is notorious for having very family friendly games, and if anyone could pull off a portable gaming console/cell phone, it's Nintendo. It may cause Nintendo to increase the prices of their games, but I think the amount of consumers that would come out to buy the "Nintendo Phone" might actually generate enough revenue for them so that they don't have to increase their prices. One of the main draws of a phone like the iPhone is all of the great mobile games. If a consumer could get a great gaming console that they could use for texting and making calls, then that would create a serious competitor for Apple, Sony, and Microsoft. I think in the next few years the demand for a phone like that will become very high, and I think Nintendo would be the perfect company to take advantage of that high demand.

5 comments:

  1. Do you think Nintendo would actually increase their prices if they entered into the cell phone market? I think because the game is on a smaller format (screen, resolution etc…) they would charge a smaller prices, which would be offset by the increase in revenue due to a large demand (because of the introduction into a new market).

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  2. In the past, most companies that take on gaming phones utterly fail. But if anyone can do it, it would be Nintendo. They are already notorious for their handheld consoles. If they could integrate the gaming with a phone I believe it would be a major success.

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  3. I agree with Payne, this would be a great new creation for Nintendo. If it becomes very popular, then maybe Apple will make a spin off of it or it may spark new ideas for them. This could potentially be the new breakthrough like the iPhone was.

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  4. Smith, the only reason that I could see behind Nintendo increasing the prices of their games is that maybe if they decided to add cell phone capability to the gaming system that maybe that would change the software needed to produce the game. Maybe it would make the games harder to produce for game developers, and in turn Nintendo would have to pay the producers more to make the games. I would think that a Nintendo phone would sell so well that there would be no need for a price increase.

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  5. I also agree with Payne. Nintendo is the master of family gaming. They own the family gaming market and i don't ever see that changing. I think that this is the perfect time for Nintendo to enter the phone market. I think they would be very successful.

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