Despite some recent troubles, Nintendo President Satoru Iwata has predicted that Wii Sports Resort, Wii Fit Plus, and New Super Mario Bros. Wii could each sell 10 million copies this fiscal year. Considering estimates that more than 2 million copies of Wii Sports Resort have already sold, the company should be able to achieve those targets without too much difficulty.
What's less clear is if Nintendo can maintain margins to meet sales goals, or if it will resort to dropping prices to hit the big numbers.
Nintendo has consistently introduced good games and interesting accessories and kept both at price points that feel acceptable to pay even in the down economy.
But Nintendo's pricing strategy won't necessarily continue to work as consoles like the Xbox 360 move heavily into digital distribution, allowing for on-demand, variable pricing that can easily shift sales in real time.
The new Xbox 360 Games On Demand service is set to launch on Tuesday and will offer a library of downloadable older-title games. The big issue is not about consumer acceptance, but of disk space--as most players don't have the available hard drive room to accommodate a huge number of new games.
... Read moreIn trying to figure out what exactly is at the heart of the problem (don't say Apple's "control issues"), I heard an interesting perspective on this brouhaha from Todd Barr, vice president of marketing at Bandwidth.com, a nationwide CLEC voice carrier that sells voice and data services to businesses. (Note: Fellow CNET blogger Matt Asay provides a good overview of the company's FreePBX product here.)
Barr believes that what this controversy boils down to is number portability. Increasingly, our phone numbers (especially mobile numbers) have become our identity, and the FCC enacted the number portability act some time ago to make sure that businesses and consumers can take their number with them when they switch carriers. The FCC believes this is important because number portability ensures competition among providers and allows businesses and consumers to keep their number to ensure continuity of their identity.
At the time, the FCC contemplated carrier competition - but now, Barr described, there are these "meta" carriers, like Apple, that have a key control point in the telecom ecosystem: the phone user experience. "Just like users want to control their number and identity, they also will increasingly want to control their own telephony experience - like having one number, that can ring to any phone you specify, and even display the correct called-ID number when you call from any phone. Ultimately, I think the crux of the issues is how far the idea of number portability extends to the entire user telephony experience, not just the phone number."
This will be an increasingly important issue to carriers as they experiment with fixed-mobile convergence features that let business users control their call flows in more intuitive ways, such as sharing one number and common features across wireless and fixed networks.
It will also become very important for services like Google voice that abstract the number from the carrier and make the networks dumb pipes.
For users to ultimately be in control of their telephony experience and to encourage the next wave of telephony innovation, the concept of portability will need to extend beyond just numbers to the telephony user experience.
Follow me on Twitter @daveofdoom
PCPro UK is reporting that Novell is considering an effort to bring a "wealth of open-source software to everyday users through an open-source apps store."
Novell believes that an open-source apps store would make life easier for customers, specifically those interested in Netbooks. This certainly seems logical, but considering that open-source applications tend be licensed in a way that doesn't require an upfront fee, it's hard to see how this represents a business model.
"I would compare what's happening on netbooks with what's happening to the smartphone," Holger Dyroff, vice president of business development at Novell told PC Pro. "There's a core experience, but then the ability to customise that experience. On the user end, all they'll see is an open-source applications store with one-click downloads of new software. Unlike the other stores though, they won't have to pay for any of those applications, which will be very attractive."
"It's a new way of marketing open source," he admits. "It's also a method of educating people about the benefits of open source."
This is not a bad idea, but it's not clear that this does anything more than market open-source applications--which is fine, but it's not clear that Novell (or any company) would generate much revenue with such an effort.
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