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November 11, 2009 3:04 PM PST

EA chief: The Wii is 'weaker than anticipated'

by Don Reisinger
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Nintendo Wii

The Wii isn't living up to its expectations.

(Credit: Nintendo)

Electronic Arts CEO John Riccitiello didn't pull any punches when he spoke at a quarterly earnings call earlier this week. As he discussed some of the issues his company faces in today's gaming market, he singled out Nintendo and its Wii as contributing factors.

According to Riccitiello, third-party games on the Wii just aren't performing nearly as well as EA had expected. And as the Wii's sales start to slip, it doesn't seem likely that that will be changing anytime soon.

"To be honest with you, I think the Wii platform has been a little weaker than we had certainly anticipated," Riccitiello said, according to a transcript of the call published by Seeking Alpha on Monday. "And there is no lack of frustration (about this coming out) at precisely the time where we have the strongest third-party share."

But Riccitiello didn't stop there. He said EA is "reaching out to Nintendo to find ways to partner to push third-party software harder." He contended that in order for the Wii to perform up to Nintendo's own expectations, the platform needs help from third parties.

Riccitiello continued on that theme. He said his company is providing high-quality titles for the Wii, but it's Nintendo that needs to do more.

"Wii is where we are missing it," Riccitiello said on the call. "And so I really do think that the opportunity exists to find different ways to partner with (Nintendo) in this case, to sort of help establish in the minds of the consumer legitimacy of some of these other brands, when they are going out multiplatform."

But it was Riccitiello's next statement that might send the most shockwaves through the Nintendo world. The EA chief said "very, very few multiplatform titles are succeeding on the Wii so far, and collectively, Electronic Arts and Nintendo need to tackle that."

Perhaps now the question is, then, how will those two major forces in the gaming industry achieve what Riccitiello wants? Nintendo's platform has enjoyed strong sales since its debut, but the Wii is slipping. Worst of all, during the most successful periods for Nintendo, it was first-party titles, not third-party games that performed best at retail. Whether Nintendo can help change that, making it more profitable for third parties to develop games for the Wii, is very much in doubt.

What do you think? Is Nintendo really in bad shape? Is Riccitiello overstating the Wii's shortcomings? Let us know in the comments below.

Don Reisinger is a technology columnist who has written about everything from HDTVs to computers to Flowbee Haircut Systems. Don is a member of the CNET Blog Network, and posts at The Digital Home. He is not an employee of CNET. Disclosure.

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by Thad Boyd November 11, 2009 3:27 PM PST
Well, maybe if EA starts making games that don't target the EXACT OPPOSITE DEMOGRAPHIC from what the Wii does, they'll have more success.

People who buy Madden and Call of Duty don't buy Wiis. They buy 360's. And probably PS3's, too, now that the price has dropped. If EA wants to make inroads on the Wii, they need to make games that appeal to casual gamers. And no, EA, that doesn't mean "Slap a license on a minigame collection and rush it out the door in 2 months."

You know, I've been reading up on Dragon Age, and got to thinking, you know, BioWare could make some great RPG's for the Wii. I haven't played their Sonic RPG for the DS, but it got good reviews; a Wii RPG featuring Mario or Sonic might get some people interested. And I don't expect we'll see The Old Republic on the Wii (given that Nintendo's online support, to put it mildly, sucks), but I'm betting a tie-in game to that series would sell decently as well.

A Mass Effect side-story for Wii probably wouldn't sell very well, for the same demographic reasons I've already mentioned, but hell, I'd buy it.
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by dragonsky1 November 11, 2009 7:08 PM PST
Actually, Call of Duty actually did pretty well on Wii, as most shooter games do. Though I do agree that some of their other titles are really aiming at a demographic the Wii doesn't have.
by Super2online November 11, 2009 3:28 PM PST
It's no surprise to me. But I don't have younger children that would use this system.
Reply to this comment
by Splashes November 11, 2009 3:38 PM PST
No surprise that EA would try to pass the buck. What's needed here is analysis, not just quotes.
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by -fjtorres- November 11, 2009 3:39 PM PST
Nothing new here; third party games have traditionally underperformed Nintendo games on Nintendo consoles. Nintendo customers are buying into the Nintendo franchises; Mario, etc., not into a gaming console per se.
EA was deluding themselves if they expected different resuts.
Reply to this comment
by rapier1 November 11, 2009 3:42 PM PST
That's the problem with trying to appeal to casual gamers - they tend to be somewhat casual about it.
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by jlopezcnet November 11, 2009 7:00 PM PST
Oh my gosh that is so funny because it's so true. I couldn't have said it better myself.
by Trerro November 11, 2009 3:44 PM PST
Lack of 3rd party games has been a problem for Nintendo on pretty much every post-SNES system, and the Wii is no exception. If they can fix that, do away with "friend codes", and get a real online platform up and running, they'll have another system as famous as the SNES. Until they do though, they're going to continue to be looked at as that system you buy if you already have the main one of its generation - because you're only buying it for what Nintendo themselves produces.

That being said, EA, the company that pretty much crippled the US gaming industry, probably shouldn't be the guys trying to fix this. Pretty much everything they touch, they destroy. I've lost count of how many game companies I used to like starting to turn out crap - or just plain die, after EA took them over.
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by schova624 November 11, 2009 3:47 PM PST
When the Wii first came out I was like "what the f is this?"
At the time of its release I felt it was way underpowered and the third party games that were multi platform had to be watered down to work on the wii. I really thought Nintendo lost their minds going with a weaker device... but when I played many of the games they were actually FUN and I think that is how they have been surviving this whole time. But as time goes on and newer games are pushing the xbox 360 and ps3 technology to its limits the wii is still stuck with a gamecube chip and can no longer keep up.

I agree with Tad Boyd. Its not the Wii's fault. EA knew what the Wii was capable of from day one. If they make games that are more suited for the wii and not watered down ports of other console games they would have more success
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by ThatsSoEt November 11, 2009 3:54 PM PST
We need better games for wii... I boughted SimCity for wii, and it kinda sucks! There not too many good games out there for wii. So, im tired of mini games... BRING MORE REAL GAMES!
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by JetCityVerde November 11, 2009 3:54 PM PST
Up until a few weeks ago, I have refused to have a video game system in our house. With the price on the Wii coming down, and the availability of games that do not require just sitting around, I finally caved. We have two kids at home part-time, age 11 and 16, and my husband and I are 40. We are not avid gamers, just looking for some entertainment. The surprise of owning this system has been the fact that I'm in better shape than I have been in years (thanks to the EA fitness program, not WiiFit) and we rarely touch the thing for games other than when the kids are around.

Long story short [too late] is that maybe Wii isn't the right system for the game-mad, but it's the right one for folks like us - short on time, have kids to entertain, and want to use it for things like exercise, etc. So, maybe Wii and their partners should focus on that in their marketing moving forward.
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by rjholla2003 November 11, 2009 3:54 PM PST
Third party games on the Wii are performing poorly on the Wii because all of the third party developers are producing pure shovel-ware for the Wii. If the games feel like an afterthought, why should I spend my hard-earned money on it? ESPECIALLY in a recession? I grew up on Nintendo, and I love my Wii. I still have a lot of fun with my Wii, but it's around this time in the gaming cycle where I start looking elsewhere because there's just not enough quality games rolling out to keep me entertained.

With the Wii it's even worse because everyone was focused on it not being HD, and not the revolutionary experience that could be had. One game that DEFINITELY got it right was The Godfather: Blackhand Edition. The storyline was great, the controls were amazing, and it was a pretty immersive experience. But, because the Wii is an afterthought for them, it wasn't marketed well and a game that could have satisfied GTA-styled game fans was passed over. I would love to see Rockstar release a GTA for the Wii, but I know that won't happen because it's a "weak platform". Maybe the third party developers need to have a team focused on the Wii so the games can feel like they are made with care for it, and market it as if it is a top title.
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by November 11, 2009 3:58 PM PST
Where's World At War for wii? I'm skeptical of EA's claim that they're providing quality games for the platform.

Further, the Wii is a unique platform--so why would you expect cross-platform games to do as well on it? The Wii needs games designed for it, not for any old console.

Way to cop out, EA.
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by MajorSlax November 11, 2009 4:37 PM PST
Gah ! Well duh, the Wii's audience is in a very vast majority children and families, and guess what ? They want children and family fun. The minority of "gamers" that actually own a Wii also own at least one or more gaming machine, 360, PC or PS3, and use them to play "real" games (note the quotes here. Don't take my words literally). EA is trying to push those "real" games to the Wii... Well tough, there's no buyer there, the Wii buyers are either not interested, or will get those games for another machine.

The Wii appears to be slipping... Sure, but giving the height which it's slipping FROM, I say it's still in good shape. Nevertheless, what Nintendo says about not forgetting "gamers" is crap. Gamers are lost to the Wii, they have been almost since the beginning (Zelda, Super Mario Galaxy, Metroid... that's it ? yes, that's it...). That's not a "bad" thing, it's just that way, both Nintendo and EA should accept it and live on. Stop trying to make "real" games for the Wii. Stop claiming the Wii is for gamers. Both these statements are dumb. Even if they are defendable to some extent (hey there's a Dead Space on Wii !!!), what does it matter if no one pays attention ? The gamers are playing Dead Space on other machines, and the other Wii players are not interested in Dead Space. The end. Lesson learned: don't try selling to people something they won't buy (whatever the reason for that may be).
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by Splashes November 11, 2009 4:42 PM PST
I find it somewhat ironic that some good analysis is coming from the comments, while there's zero analysis in the article.
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by 01Phyxius November 11, 2009 4:57 PM PST
Yeah, what's up, CNet?
by sdf0013 November 11, 2009 6:03 PM PST
That's because Don is not an employ of Cnet. He's a contract writer. It says so in his bio at the end of the article: "Don is a member of the CNET Blog Network, and posts at The Digital Home. He is not an employee of CNET." There has been much criticism of Don's weak journalistic abilities. He's pretty short sighted too IMHO.
by SEANZILLA68 November 11, 2009 4:56 PM PST
The Wii is weaker than anticipated? Since when is this news? I am an avid PC gamer. PC's rule in my opinion, but that aside, I bought the Wii last year for my kids. It is the first console I've bought since the Super Nintendo. I knew the graphics weren't the best. I knew the processor couldn't touch the competition. A neighbor bought the system and I was hooked on the stock bowling game. Regular console controllers can't pull this stuff off. Mario Kart, the new Tiger Woods...these are awesome games for the Wii. Madden sucks for the Wii and you can blame EA for that. The game is ridiculously easy. I had played earlier PC versions and it rocked. The Wii version was a joke. I put it on all-Madden immediately and only lost one game. Granted, I am from NE and was using the Pats, but still...that was ridonkulous. First person shooters for the Wii suck. That aside, first person shooters were designed for PC's, not consoles. What I am getting around to is the fact that EA and other 3rd party developers aren't getting is that the Wii is about the unique controllers and gameplay.

What I mean about that is...look at the Madden series on the Wii. The game is foolishly easy next to the other platforms. The most they make out of the wireless controllers is you wave your arms around like an idiot after a touchdown or other big play. Wow. How *NOT* exciting. EA doesn't seem to know the animal they are training when it comes to the Wii. Enter the new Tiger Woods with the motion plus and you have something different. That is a great game.

Game development seems to be a challenge for the Wii. It seems Nintendo is the only entity that understands this process. EA can only blame themselves by putting out stinker after stinker. It's not the Wii. I can fully attest that the Wii has serious limitations. EA needs to accept that they have serious limitations to accepting what the Wii still has to offer.

Nintendo needs to upgrade the Wii in the same fashion that XBox has recently upgraded/retooled. Of course you won't see the level of difference you would in the XBox, but at least you would have a revamped system that EA still would't know what to do with...............
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by JimPratt3 November 11, 2009 5:27 PM PST
Where's the HD, Wii?? You are playing second fiddle without it.
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by sdf0013 November 11, 2009 6:12 PM PST
Don leaves out some major factors about the Wii.

As we all know the Wii is meant for a casual audience. Cnet has already previously run articles that showed us that the Wii's best chance for game purchases is when the system is first purchased. The families, aunts, uncles and/or grandparents that are buying the system for themselves are not "gamers" and do not usually come back to make additional game purchases. So, while the Wii has enjoyed high initial game attach sales, the lifetime attach rate falls drastically. The other systems, or more specifically the more gamer-centric demographic buys the system to play the yet-released games (Halo 4, Uncharted 3, etc.) - meaning they'll buy a current game then return later to buy a game in the future.

The problem is, as Nintendo already stated last week, is that initial sales for Wii hardware has gotten very soft. With that initial number falling, all software vendors attachment sales are also falling. Add your natural comment about the economy and of course Nintendo is putting it reduced marketing money behind it's own 1st party titles.

Yes, it is also true that the software developers have largely tried to take the easy way out of developing for the Wii by simply doing ports rather than original development. It's a game of numbers. Yes, the Wii has a massive install base to try to sell an game that was originally developed for the platform, but going back to the initial attachment comment, the majority of those casual gamers are not going to come back to buy that game. <<I could insert additional comments about the problems with marketing to casual gamers - your older casual gamer isn't likely to even hear about new games releases let alone know they should care about The Sim 100>>

So, the problem is way more complex than just what's been presented here or even discussed in the user comments. But, I'm sure Riccitiello's comments have merit. Nintendo probably could be doing a lot more to help 3rd party publishers. But, without those publishers willing to produce platform exclusive titles that would help Nintendo sell more hardware, the financial justification to hep them is probably thin. At least the way Nintendo sees it - especially if they are making any decent margin on the hardware sell (which I'm not sure about anymore).
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by darthstupid November 11, 2009 6:49 PM PST
Here's an idea EA: Quit making crap games for the Wii and maybe your sales will improve.

I'll email you the address you can send my check to.
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by katznaperr November 11, 2009 8:54 PM PST
Typical Wii owners like myself do not want complex expensive games. Give us simple, fun games for $9.99 lined up at the Target check out and we will snatch them up like crazy.
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by Squashman2 November 12, 2009 6:03 AM PST
It couldn't possibly be the economy. Does he think people are going to buy the same game for each console.

As people have said above, you need to make games that play to the Wii's strengths.

And if you ask me all of their games are over priced.
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by Inconnux November 17, 2009 8:07 AM PST
lol @EA... excuses, excuses...

EA's standard yearly update shovelware might sell on the 360 or PS3, but the Wii is a different machine. Design a game for the Wii instead of porting over a game not designed for the Wii mote.
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About The Digital Home

Don Reisinger is a technology columnist who has covered everything from HDTVs to computers to Flowbee Haircut Systems. Besides his work with CNET, Don's work has been featured in a variety of other publications including PC World and a host of Ziff-Davis publications.

Don writes product reviews for InformationWeek and is a regular contributor to Processor Magazine. You can visit his personal site at DonReisinger.com or if you would like to email Don with questions or comments, drop him a line at CNETDigitalHome@gmail.com. He is a member of the CNET Blog Network and is not an employee of CNET. Disclosure.

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