posts by pat
pat

Numbers are fun – November ‘Nihilation

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There has been a lot of good sales news for the industry over the past month. Enough numbers have been released that PR people from all three console manufacturers are able to claim some victory. We have all grown accustomed to hearing that Nintendo’s grandparent-friendly hardware is setting the world ablaze, but recent information has shown that its competitors may be gearing up to offer a viable challenge. The biggest headline probably has to be the fact that Nintendo DS sales set the record for most systems ever purchased in a single week with 653,000. This, combined with 350,000 Wiis sold during the same period adds up to…a lot of stuff sold by Nintendo during Thanksgiving week. The Wii is still supply constrained so it’s tough to say how many units Nintendo could be moving, but the Wii reached five million units in the US sold faster than any other system in history, doing so in a mere 12 months.
This game sold almost 600k in one week.
 →  Read more, before it’s too late!

Who is responsible for making sure I have heard of a game?

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Next week Capcom will release Zack and Wiki for the Wii.

This is significant not because I want to play the game (although I do, and you should also) but because I had never heard of it up until a few days ago. There have been plenty of articles and columns recently that lament the fact that third party titles have failed to sell on Nintendo’s newest console. This fact, the fact that Nintendo has suffered a similar fate with past consoles, and the perception that they are either competing too fiercely with these third parties or have too difficult and onerous a quality assurance process have led some in the industry to believe that the big N is doomed. The Wii will be unable to dominate this generation without significant third part support, they argue.

While I could propose an alternative explanation (i.e. the games have mostly been crap) for why third party titles have not been selling, this is not what I mean to discuss today. →  Ratchet & Read

A deeper look into Nintendo’s bling

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Nintendo’s recent ascension to become the second largest company in Japan has been making news on a few sites which track the business aspect of video games. While it is true that a company’s market capitalization (basically a measure of what the stock market thinks a company is worth) has grown by leaps and bounds of late (as will happen when the price shoots up as much as Nintendo’s has) some of the underlying financial numbers are even more fascinating than the headlines.

By market cap, Nintendo is substantially larger than Sony (Nintendo is worth about $75 billion, to Sony’s $47 billion). In truth, this metric is only one way to judge the size of a company. What’s another, you may ask? How about sales, I answer. Sony’s sales are leaps and bounds higher than Nintendo’s. During fiscal year 2007 Sony recorded over $34 billion in net sales, while Nintendo brought in $7 billion. So in terms of sales, Sony is more than four times the size of Nintendo. →  Mrs. Article, you’re trying to seduce me.

Numbers are fun: But charts are amazing

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Market capitalization is a measure of what investors think a company is worth, so it basically represents size. In order to get a little perspective on the relative size of some of the companies with which we, as gamers, are most familiar, I have thrown together the below chart.

As with all thrown together financial charts it has its shortcomings. Private companies, such as Bioware, SNK Playmore and Treasure cannot be included since they are not required to reveal their size and there is no market to determine it. Also, (and this may come as a shock to some of you) several of these companies are Japanese. This means that in addition to their market cap changing day to day based on price changes, when expressed in US Dollars, they change with foreign exchange rates as well.

I have also included a few other relevant companies. Exxon Mobil is the largest company in the United States (probably the world, I was a bit too lazy to check). →  Monster Reader 4

Numbers are fun: Super awesome stock update

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While at work today, and trying to justify thinking about video games, I became curious about the recent performance of the three companies gamers (probably) follow most closely. Thus you now get to read a rundown of how Microsoft, Sony and Nintendo stock has performed since the launches of the 360, PS3 and Wii respectively. But first a few caveats. With nothing besides perception to back this up, I’m going to say that Wii sales are more important to Nintendo than either of the other consoles are to the their companies. While I’m not sure, and I would be willing to listen to arguments to the contrary, I would say Microsoft is least reliant on its games division, but Sony obviously has diverse business interests as well. This means that stock moves could have nothing to do with game sales, and I am completely spinning my wheels. Maybe it will be a fun ride anyway.

In any event, on to the stats. →  Sounds mildly entertaining, I guess.

Numbers are fun: January 07 edition

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There has been a decent amount of industry news in the gaming spotlight recently. A next gen system (Wii) was finally the best selling piece of hardware over a month (January) in the United States with 436,000 units. While the DS (239,000) still outsold the PSP (211,000), Sony’s machine has started to close the gap. All it took was a few original titles and sales have started to pick up. In terms of raw sales numbers, 2006 was a great year for the industry, and, in the US at least, terrific January sales have started 2007 off on the right foot. Japan sales last month were lower than those in January 2006, but this is hardly troubling. There are reporting problems with both the US and Japanese numbers that make it difficult to tell anything very specific, but it does seem as though the industry is alive and kicking.

At some point I mentioned somewhere that industry professionals are concerned about Wii sales staying strong throughout the year. →  Oops, I did it again.

Review – Okami

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While some genres are mainly constructive (most sim games for example), the action adventure genre has historically been destructive. Even though your character is generally on the side of good and fighting evil there is something dissatisfying about achieving your ends using strictly violent means. Rarely does a game come along (outside the real time strategy genre) that gives the player the ability to create as well as destroy. Okami is such a game.

As the goddess Amaterasu you alternate between attacking demons with a variety of swords, mirrors(?) and rosaries(??) and restoring the world around you to its former natural beauty. This makes the experience of playing the game much more complete, since you actually have the capability to act like a god (assuming its not the spiteful, vengeful type of god), meting out punishment to offenders and aiding the just in their day to day lives.

Okami has more mechanics than most players (myself included) will know what to do with. →  Read like G did.

Numbers are fun: Year end edition – The handhelds

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A few months ago I reported that the DS was an unstoppable juggernaut that had put quite some distance between itself and the PSP. Elsewhere on this site we have mentioned that PSP software sales have fallen off. After looking at some year end numbers on handheld sales, I hold to the argument that the DS will be (already is?) the victor in this generation of portable video games I think it may be a bit early to buy Sony’s product a headstone. Lets go to the proverbial video tape.

Both handheld companies entered 2006 with approximately 3.7 million units of hardware sold (DS had slightly more, PSP slightly less, but DS also had a three month head start). In the US the DS then outpaced the PSP by selling 5.3 million units (combined DS and DS Lite) while PSP managed a very respectable 3 million. The software sales tell a similar story. Nintendo sold over 23 million DS games while Sony mustered 14 million with the PSP. →  Speak softly and carry a big post.

Numbers are fun: Year end edition

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Heading into the holidays the question on the collective mind of the industry was which seventh generation system would emerge with the lead. For Xbox 360 this meant continuing to sell some units despite the fact that Nintendo and Sony were releasing their competitors in the market. For Nintendo and Sony, success meant shipping as many consoles to store shelves as possible and then selling all of them. So, now that the dust has settled, who has accomplished their goals, and who may be in trouble? It’s obviously too early to call the generation for one system or another, but the numbers do tell an interesting story. For our purposes, all the numbers below (unless otherwise noted) are US sales.

Microsoft’s Xbox 360 had a year head start on both of the other consoles. If we define the holiday season as the fourth quarter of the year, they came into the holiday season with just over 2.6 million systems sold. By now production has been ramped up to the point that it is relatively unconstrained, and it showed. →  Up to 6 billion readers.

Why I play the games I play

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While collaborating with the rest of the staff about yesterday’s article, I started to wonder a little more deeply, very much in the abstract way Jay was specifically trying to avoid, why I play the games I do. I think the answer to this question is very much the answer to the question of why play games at all, when there are hobbies/ways of life that are likely to lead to more sex/money/interpersonal relationships than video games.

A simple answer would be that I can never be a ninja, a WWII general, a wizard, an NFL quarterback, an etc, etc but video games allow me to come as close as I am likely to be able. I’m sure this is part of it, the desire to be immersed in a game to the point where I feel as though I am a part of it, but I do not think this is all, or even most of why I game. →  READ3R