Nintendo like Apple? Or Apple like Nintendo?

[x999x]

Nintendo's stock has hit an all time high based on predictions that they will announce yet an even higher profit margin than they predicted last quarter. In this article a financial analyst is quoted as saying:

"We believe Nintendo's talent in creating new markets, evident from the launch of the DS and Wii, could bring it close to the level of Apple, whose high valuations are due in large part to its innovative business model," Goldman said in a report.

I think thats pretty cool for last season's #3 to now be #1 and compared to Wall street's sweetheart, Apple. Now if Nintendo have learned something from Apple by creating your own market, I think its high time Apple learn something from Nintendo, 3rd Party Licensing.

When the Video Game Market crashed in '84 Nintendo stepped in with a new business model, one that would directly address the very reason the market crashed in the first place, a devalued software market from over saturation. This was done by locking their consoles and requiring 3rd party developers to apply for a license in order to develop on the platform. It goes something like this:

Nintendo was determined not to make the same mistakes in the U.S. that Atari had. Because of massive influxes of games (games that were regarded as some of the worst ever created), gaming had almost completely died out in America. Nintendo decided that to avoid facing the same problems, they would only allow games that received their "Seal of Quality" to be sold for the Famicom, using a chip called 10NES to "lockout" or prevent unlicensed games from working.

In 1985, Nintendo announced that they were releasing the Famicom worldwide — except under a different name — the Nintendo Entertainment System (NES) — and with a different design. In order to ensure the localization of the highest-quality games by third-party developers, Nintendo of America limited the number of game titles third-party developers could release in a single year to five.

As you can see, Nintendo's intent was to provide the highest quality experience for the consumer, which is in line with th expectations Steve Jobs has of the native applications on the iPhone.

So for a company known to think differently, 3rd Party Licensing would definitely be thinking out of the box as far as phones are concerned. I mean Apple makes money on the licensing agreement, and then again on the iTunes sale so how could they not want something like this?

Whaddya say $teve?

[acosmichippo]

sounds like a plan. I'll call him and let him know what we have decided on.

[x999x]

Its too late, he just left our dinner party.

He said he was, "interested, with an I."

I asked him why he said capital I at the end of his sentence and his response was to "prove a (his) point that the world can exist without copy and paste."

[tonyj81]

Your new avatar of Illi rocks!