Nintendo's Fils-Aime takes aim at rest of world
Nintendo president and COO Reggie Fils-Aime talks about the company's latest iteration of its motion-sensitive controller, the Wii Motion Plus, at its E3 press briefing in Tuesday in Los Angeles.
(Credit: Daniel Terdiman/CNET Networks)LOS ANGELES--Although the video games industry has begun to take some hits--suggesting it may not be recession-proof after all--Nintendo has managed to maintain a solid financial performance.
Its sales are up 19 percent year-over-year, according to the company, which would be impressive in any year, but is particularly so in the current economic climate.
At E3 here this week, Nintendo made a few bold moves, but tended to play it relatively safe. It unveiled a new version of its mega-hit exercise game, "Wii Fit Plus," and showed off the next-generation of its motion-sensitive controller, the Wii Motion Plus.
Nintendo President and COO Reggie Fils-Aime
(Credit: Daniel Terdiman/CNET)Overall, however, there was the impression that the company was sitting on its lead. For while Microsoft has had some very impressive sales numbers and Sony has picked up its pace over its early PlayStation 3 stumbles, Nintendo's Wii has managed to stay on top of the sales charts. Similarly, the Nintendo DS has also had sky-high sales, and continues to defy expectations, more than four years after its launch.
At E3, CNET News' Daniel Terdiman had a chance to speak with about the video game industry as a whole, and about how Nintendo plans to go after the few demographics it hasn't already captured with the Wii and the DS.
Q: What's your feeling about where the video game industry is right now?
Reggie Fils-Aime: The video games industry is not just at the center of the entertainment industry, but is driving the entertainment industry, not only economically, but from a cultural impact standpoint. Having said that, consumers are having to make tough economic choices today. Nintendo's in a very fortunate place. The industry through April is down about 4 percent, but we're up about 19 percent. So consumers are voting for us with their wallets, which is a great place to be, especially when so much of our best content will be coming in the second half of the year.
Can Nintendo sustain that performance if the economy worsens?
Fils-Aime: Consumers are looking for ways to entertain themselves. In tough economic times, certain parts of the entertainment business have always done well. Whether or not the industry or Nintendo can sustain where we are really comes down to the experiences we're offering. And based on E3 and the smiles I see from people playing Wii Sports Resort, or Zelda DS, or Mario vs. Donkey Kong, I believe that as long as we continue to bring great, innovative entertainment, consumers will continue to choose us.
Speaking of Donkey Kong, I was thinking about the attempt at E3 on the world-record Donkey Kong score, and about how well the game and other classics like Pac-Man and Frogger and others from that era have held up. Are there current games that 20 or 30 years people will still be playing and appreciating?
Fils-Aime: It would be wonderful to see. If you look at something like Super Mario 64, that was a launch title for DS, 53 months ago, and continues to sell exceptionally well, as does Super Mario Galaxy for Wii. I do think there will be some key titles that folks will look back on 10 or 20 years from now, and say, "Boy, I would have loved to be a gamer when these games were launched."
Was there a design philosophy in the 1980s that designers could learn from today?
Fils-Aime: I think actually (Nintendo president and CEO Satoru Iwata) touched on this during our press conference. He talked about games like Donkey Kong or Space Invaders presenting an incredible challenge but also being inviting at the same time. And that duality is something that is really tough to do from a game design standpoint, and as we think about Wii Sports Resort, or Super Mario Galaxy 2, we're also trying to find that great balance.
Nintendo is currently selling both the DS Lite and the DSi. Is that not confusing to some consumers?
Fils-Aime: I don't think so, because a consumer walking in the door is going to be compelled by the plethora of great titles for DS. Then it's going to come down to, "Do I want a DS Lite or a DSi?" The first thing they'll see is that there's a price difference, so that will drive people one way or the other. The other thing they'll say is, "How important is it to me to download games. How important are the two cameras. And as we showed yesterday, with a million DSis sold in two months, and 400,000 DS Lites. And I think consumers are making their choice based on a number of factors. We have some who are saying, "I want pink." To little 8-, 9-, 10-year-old girls, features don't matter, It's, "I want the pink one." And having that available just for DS Lite is driving it that way.
Do you think all the innovation we're seeing in accessories for Wii,
Xbox, and PS3 is making a rush to the next generation of consoles unnecessary?
Fils-Aime: We certainly believe there's a lot more Wii volume to be done, and a lot more games for the Wii. And that's not just what we've been able to do with accessories like the Balance Board, or future accessories like the Vitality Sensor. It's also what we're able to do with Wii Motion Plus, from an archery standpoint, or what we're doing with ping-pong, in putting this big spin and curve on the ball. Who would have thought that possible three or four years ago? Nintendo's driving a focus on innovation that maybe wasn't in our industry four or five years ago. I think that's where the major difference is.
One of the things that has driven the mystique of the Wii has been how hard it has been to buy one. But now it's available anywhere, anytime. Does that take away the mystique?
Fils-Aime: I don't think so. From the start, we wanted to reach out to people who did not consider themselves gamers. The only way to reach them is for the product to be readily available, because they won't sleep out in front of a store to buy a Wii. We had to get to the point of having massive availability. We're selling 300,000 or 400,000 units a month, 30 months after launch, and that's never been done before. We've blown past the PlayStation 2 sales rate after 30 months.
How did you solve the availability issue?
Fils-Aime: We've been manufacturing it at a rate that's never been seen before.
But why were there still shortages last holiday season?
Fils-Aime: The fact is, we've been producing at this rate for a year. It's taken us that long to satisfy all of that pent up demand. Now we can do some outreach to people who in the past were saying, "I might be interested in the Wii, but I'm not going to go sleep out in front of a retailer."
With their announced new motion-sensitive control systems, Sony and Microsoft seem to be planning to aggressively go after the elusive mainstream audience. But perception-wise, at least, Nintendo maybe has the opposite problem: You've got the mainstream. How do you reach that core gamer?
Fils-Aime: We have near-term, mid-term and long-term opportunities. The near-term opportunity is the consumer who owns an PS3 or an Xbox 360 and has been bad-mouthing Wii to their friends. We can reach that consumer with games like The Conduit or Tiger Woods with Wii Motion Plus. The mid-term opportunity is the more mainstream consumer who saw Wii at a friend's house but just needs a little extra incentive to get into our game. That's what Wii Motion Plus and Wii Fit Plus and new Super Mario Bros. Wii will hopefully achieve. And the long-term opportunity is that person who currently says, "I don't play video games and I have no interest in playing video games."
What about the Halo audience?
Fils-Aime: We think we win over the Halo audience with something like The Conduit, a multi-player, online, shooting experience, or Dead Space Extraction. And you know what? Once those people buy into Wii, they'll go buy Mario Kart or Wii Fit Plus. We're not going to be satisfied just picking up that existing gamer. We have to reach beyond and get that consumer who doesn't game. That's the only way we'll be able to continue growing as a company and as an industry.
That's not an unlimited audience, right?
Fils-Aime: It's not. And actually the challenge increases the further you dip into this group. Two years ago, theoretically, there were ten consumers who said, "I would never play video games." We picked them off one at a time with Wii Fit or Brain Age 2. Now maybe there's five left, but now the bar is substantially higher for how to get them. Which is why we're looking to push the envelope with something like the Vitality Sensor, and why we have to make current gamers say, "Huh? What is that?" But that's exactly the type of reaction we got a couple of years ago when we first talked about "Wii Fit," and look where we are now.
You just announced the multi-player Super Mario Bros. Wii. How important is that for broadening your Mario audience?
Fils-Aime: I think Super Mario Bros. Wii will first appeal to the traditional Mario fan. But I think we'll also appeal to the consumer who first bought a Wii to play Wii Fit or Wii Fit Plus, who maybe has felt that platforming games are a little too challenging. We'll get that consumer because it's Mario, and because they can play with other people, whether competitively or cooperatively. That's exactly what happened when we launched Super Mario Bros. DS. Initially it was the Nintendo fan. But the only way it's been able to stay in the top ten month after month is because we've reached beyond the Nintendo fan into the brand-new consumer who's picked up a DS for the first time.
Can you talk about what you saw from Microsoft and Sony when it comes to the motion-sensitive controllers. It will be a sort of a new arms race.
Fils-Aime: The only thing I'll say is a rhetorical question. Is it fun? If it's fun, then I tip my hat and say, "Well done." But what's happening sounds to me a lot like, "Who's got the prettiest picture. Who's got high-definition. Who has the best processing power?" It sounds like technology, when the consumer wants to be entertained. Our focus is how do we take active play and make it entertainment. And that's what we're going to continue to focus on. And I think we've done a great job with Wii Motion Plus, and the Balance Board. And we're going to continue to push the envelope in ways to make it more fun.
Daniel Terdiman is a staff writer at CNET News covering games, Net culture, and everything in between. E-mail Daniel. 
Your statement means nothing in the overall context of things and the operation of the industry. You seem the like the type that would bash DC Comics because you read too much Marvel, without acknowledging that the same artists and writers work at both companies.
The wii has a lot of great games besides Twilight princess: Metroid Prime 3, PunchOut, Super Mario Galaxy, RE4 wii edition, Super Paper Mario, Excitebots, Madworld, No More Heroes, Little Kings Story and a lot more. The Conduit, Overloard : Dark Legend, Tiger Woods 10 with WM+, Virtual Tennis 2009 with WM+, Silent Hill - Shattered Memories, Red Steel 2, Tatsunoku vs Capcom, Dead Space, New Super Mario Bros Wii and a lot lot more are launching before christmas this year. For 2010 Super Mario Galaxy 2, Metroid : Another M, Gladiator AD, The Grinder, Monster Hunter 3 are just some of the games announced.
Not only does my PS3 have all that above, plus Blu-ray, but my friends and I really have a lot of fun playing it. Sure, we're more gamers than not, but he's saying we're going to buy a Wii because of a couple of games?
Look, the Wii is great family entertainment. Nice for people who are not "gamers", however gamers want it all. We want the HD, we want the awesomely smooth animation and the mind blowing graphics. And speaking for the people who bought PS3s, we want the Blu-ray experience as well. Also, being able to cruse web pages and play on-line video is nice too (even if the PS3 web Browser is a POS).
People who bought XBox360 and PS3 did it because it's fun, and they have all these other features that the Wii doesn't have. You're not going to pull us into the Wii camp with what you're offering.
I was shocked when the Wii came out and only offered NTSC graphics. Sure, it's not just the graphics that make a game fun, but it sure helps.
If I had kids I'd be happy to buy them a Wii, but as a gamer I think not.
Listen, you are one of three kinds of gamers: a fan, a gamer, or a non-gamer.
A fan just likes what he likes and isn't willing to try anything outside of his narrow vision.
A gamer just likes games. If it could be fun, he's there to find it.
A non-gamer doesn't play video games, period.
You sir, are no gamer. You can shout about being hardcore all you like, but the second you denounce a system without being able to acknowledge the possibilities of fun being found on it, you lose any credibility you might have had before opening your mouth.
How many units did Madworld and Overkill sell again?
Weren't both games massively rejected by the huge Wii install base, who were too busy buying Wii Play/Wii Fit?
How is that even a valid point in this arguement? People who bought a Wii for Wii Fit were not the target audience of those titles. But there are other titles I can bring up. Resident Evil 4, Red Steel, Umbrella Chronicles...
The point is that if you discount the Wii as a system you are missing a third of the great games that have come out this generation. If you can't afford more than one system, thats fine but its no reason to bad mouth the other systems you don't have.
Of course sales matter.
Why else do you think most of the best AAA "hardcore" games usually appear on the PS3/360 but don't appear on the Wii?
Aasssin's Creed 2, Lost Planet 2, heck even Modern Warfare 2 have yet to be confirmed for the Wii, long after confirmation for the PS3/360 came in.
@bustin98:"How is that even a valid point in this arguement? "
Read above.
@bustin98:"The point is that if you discount the Wii as a system you are missing a third of the great games that have come out this generation"
If you discount the 360/PS3, you are missing over 90% of the best games that have come out this generation.
"Hardcore" gamers are much better off buying a 360 or PS3 than wasting their time buying a Wii.
Just look at the staggering list of supberb games on the HD consoles in the just ended #e, and compare it to the measely pickings on the Wii.
@bustin98:"But there are other titles I can bring up. Resident Evil 4, Red Steel, Umbrella Chronicles... "
RE4?
Hey isn't that just a rehash of the same RE4 that has already appeared on the PS2 and Gamecube several years ago?
and wasn't the Wii totally left out when capcom released a real next gen,real next version when they released RE on only the PS3 and 360?
Why on earth would anyone buy a Wii for the same game that is on the PS2 and Gamecube?
"Umbrella Chronicles"
Yet another port of a non-mainline Resident Evil on the Wii. No surprise there.
" Red Steel"
So while the HD twins are talking about super game, AAA rated games like Halo 3, Halo 3 ODST, Splnter Cell Conviction, Alan Wake, Uncharted 2, The Last Guardian, Metal Gear Solid 4, you reply with Red Steel?
That's a reason why hardcore games, already used to an overflow of riches of superb hardcore games on the 360/PS3, should be moving over to the Wii?
Will you excuse me while I laugh?
If anything, the fact that you on the Wii side consider Red Steel to be some kind of top hardcore game, is enough reason for the hardcore to stick with their 360's and PS3's.
A good game is a good game. Period.
BTW, RE4 on Wii is the definitive version. If you like playing the gimped version, you'll play it on the PS2.
BUT the main reason I bought the wii is that my wife will play it with me. Family and friends will just grab a remote and swing the bat or bowl. It's simple and fun. The point is it is not serious.
Serious gamers like the serious systems.
Everyone else can easily enjoy the wii.
How many of you ps3 and xbox owners have their wife and or family sit on the couch and play a serious game with you over an over again?
Ever heard of Netflix on the 360?
Or the numerous casual games on the XBOX Live?
Or "Lips" from Microsoft?
Or "You Are In The Movies" from Microsoft?
all games designed speciifically for playing with your family?
If I've already got Dead Space, why would I buy a Wii to get the spin-off? If I don't have Dead Space but want it, why would I buy a Wii when I can buy a 360 Arcade for $50 cheaper?
I love it! You're posting history is a thing of beauty!
You shoulda have taken a look at your posting history first, while you were about it, shouldn't you?
You are well known here as aa notorious Microsoft hater,. with a very long history of spewing out rabid anti-Microsoft venom on every single story that has anything to do with any Microsoft product.
Ummm.about that funny grenade of yours you keep blathering about..why don't you take out the pin, and then open your mouth, and put it there?
I'll start: PS3 sucks because you can't leave a voice message for someone on your friends list. Your turn...
Chortle!
That's like Saddam saying he has "no issues" with the Kurds after he finished gasing them to death.
@ d--keller :"Only issues with fanboys who are blind to simple truths."
You wouldn't know the truth if it hit you right between the eyes.
It's going to be a very long wait for you, mate.
How old are you anyways?
2?
Now why don't you get back to me when you get out of kindergarten?
I'll go for you. 360 sucks because you need a $99 proprietary adapter to connect to your FIOS wirelessly.
Ok: PS3 sucks because used games are more expensive. Lower install base= lower supply.
Your turn.
BTW: based on your reasoning skills, I'm guessing I'm quite a bit older than you. Don't tell me you're in 8th grade on summer break. That will take the fun out of this. (Not so secretly hopes you're 35 and waiting for your assistant manager shift to start at BK.)
That "it's yout turn" bit finally proved it.
I suggest you quit playing with yo momma's computer and go take your meds. How's about that eh?
What that bit proves is that you are the worst of fanboys. It should be pretty obvious to all (as if it weren't already.) Can't think of a single thing wrong with your 360.
Someone up top called it pretty well (even though they weren't actually talking to you). You're a fan of the 360; not of games. No Killzone for you. No LBP. No GT5 (if it ever actually comes out). No Infamous. No Metroid, no Zelda. They're all stupid anyhow so no loss for you.
Here's a news flash captain... you're not going to get a prize if the 360 "wins". If you want a prize, you should stick to stealing them from the Big Kids meals at work. Ohhh... that burns a little doesn't it?
- by umpire17 June 8, 2009 11:28 AM PDT
- RockaTech - of course you fail to even metion better games you never cared. your just one of those losers who think having a wii makes you look like a kid. mad world zelda tp, mario glaxey, the conduit (coming out soon) house of dead over kill resident evil wii, monster hunter 3 (coming out soon) plenty more games.
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- by d--keller June 8, 2009 4:38 PM PDT
- Good one. :) PSP also sucks because those PS2 ports are hard to control without a second analog stick. But is still sweet because God of War still plays like a champ and ATV Offroad Fury is a lot of fun.
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(29 Comments)here to prove i can name bad things with all consoles
360- pay online and need to get a router or wifi connection to get online. Good- controller got better and more varity choices
PS3- what can i say? look at the first time it came out blu-ray i do have blu-ray player but i didn't pay more than 200 for it. in fact the other thing that sony done bad was the motion sensor in the controller.
Wii- Friends code can be done with but its not a huge problem with me i could care less. and the only other thing is if you trade your system or got to get a new one. the games you had on wii you played for vainsih.
psp- just ports of ps2 games
ds- dual screeen with on the go with the tool can get hard using.
pc- to many updates to do in sort litte time.