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Year in Review 2011: Nintendo

The School of Hard Knocks

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Legend of Zelda Skyward Sword Box Art
The Wii’s one saving grace in 2012?

It’s incredible to think how much difference a year can make. There’s no denying that 2011 has been something of a tough, if not interesting, time for Nintendo. The once near-invincible Japanese powerhouse started off the year promisingly enough, with a new handheld system that was not only met with overwhelmingly positive critical reception, but also broke pre-order records. Nintendo had seemingly done it again: crafting a device that would encapsulate the market and provide the same, if not more, riches than its original DS and Wii systems had.

But here we are, roughly nine months down the line and the outlook is very different. The 3DS has already been subject to a price cut and Nintendo’s software line-up for it has not only been rather limited, but also not particularly inspiring either. Nintendo isn’t in a critical condition by any stretch of the imagination, but it has certainly taken a few knocks this year. It’s hard to gauge whether this is the result of changes in consumer tastes, increased pressure from the smartphone and tablet gaming market or just plain bad luck.

Nevertheless, Nintendo reacted appropriately, taking some rather drastic actions in order to instil faith in its investors. Some of these didn’t pan out as the company had hoped. The announcement of the Wii U at this year’s E3 was a joyous occasion for gamers around the world; we love it when new hardware is shown off. However, shareholders took a different view, with the company’s share price taking a rather surprising drop immediately after the news was unveiled.

Then more gloom and doom reared its head. In October, the company reported a whopping ¥70.29 billion loss (£577.2 million/$901 million) as a result of currency issues and the 3DS’s failure to set the world on fire as predicted.  Nintendo CEO Satoru Iwata feared such a backlash that he and many members of the board took considerable pay cuts. Not exactly the situation you’d expect for a company responsible for this generation’s most successful home and handheld systems.

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Satoru Iwata

Taking a salary cut was a honorable thing to do on Mr Iwata's part.

It wasn’t all negative though. Nintendo expanded its online services this year with the unveiling of the 3DS eShop. The Virtual Console, which allows gamers to play classic Game Boy, NES and Gameboy Advance titles (the last two are yet to be made fully available), combined with fresh, new content shows that the company is starting to take the online market more seriously. At the same time though, most titles, in comparison to their mobile app counterparts, are horribly overpriced (£5.40 for Link’s Awakening DX is a tad overboard). Nevertheless, with the list of new downloadable software growing each week, there’s a good chance that the 3DS eShop could prove very profitable if Nintendo plays its cards right.

Nintendo showed its compassionate side and alleviated the price cut woes felt by early 3DS adopters by giving them 20 free classic games. This may not have been as nice as a cash refund, but it does show that Nintendo is very aware of its loyal fan base. With the Wii U on the horizon, which looks set to bring back the core experience that many felt the Wii was missing, this is very promising.

The Little System That Could

Things started off positively enough for Nintendo with the 3DS. Right from the get-go, the install base was pretty sizeable, and despite not selling as much as had been expected, it still made its way into the hands of over three and a half million gamers by the end of March. One of the key issues, however, was the launch software, which lacked killer apps, such as a Mario title or at least a follow-up to Metroid Prime: Hunters. Instead, we were treated to a port of Super Street Fighter IV, Pilotwings Resort and Nintendogs + Cats. While these games were good enough to receive a recommendation from us, they didn’t do the system justice, failing to showcase its unique abilities. And this is something that consumers were very aware of from the get-go.

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Ocarina of Time 3D Logo

A great remake of a great game, but would an entirely new Zelda experience designed specifically with the 3DS in mind have shifted more consoles?

Then, two things that are inherently Nintendo occurred: a significant drought in software releases and the release of remakes. The Legend of Zelda: Ocarina of Time 3D is undoubtedly a great update of a classic game. It might not have been the new and fresh experience that 3DS owners were desperately waiting for, but it certainly filled a gap. The same can be said for Starfox 64 3D, which was not only met positively, but was also one of the first titles for the system to show that the 3D effect could be used to enhance a gameplay experience.

By the end of the year, with 3DS sales considerably on the up, Nintendo was finally starting to give gamers the software they wanted. In particular, Super Mario 3D Land really showcased what the 3DS could do, while Mario Kart 7 finally provided 3DS owners with a comprehensive online experience. As with any system, there were a few duds along the way, with some of the most notable titles in this category for us being Resident Evil: The Mercenaries 3D and Super Pokémon Rumble/Pokémon Rumble Blast. Nevertheless, the 3DS is still in its infancy and we can expect to see a lot more throughout 2012.

Don’t Forget About Wii!

Whereas the 3DS got off to a refreshing start, Nintendo’s Wii system really started to show its age this year. Graphical power and technical jargon aside, what really let the Wii down in 2012 was its tremendous lack of software. This was somewhat made up for by the highly anticipated The Legend of Zelda: Skyward Sword, although this only arrived in November. Otherwise, the only other notable core titles for the system were Kirby’s Adventure Wii/Kirby’s Return to Dream Land, Xenoblade Chronicles (in Europe) and Rayman: Origins (which itself was multi-platform). Kirby’s Epic Yarn was also made available in Europe earlier this year.

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Kirby Wii cooperative gameplay

A fun game but was this enough for Wii owners?

As a system for the family or casual gamer, the Wii still provided a heck of a lot of entertainment. For the dance star in all of us, we got our groove on to Just Dance 3 and Zumba Fitness 2, while Mario & Sonic at the London Olympic Games provided an athletic challenge in the form of strenuous waggling. Also, Boom Street/Fortune Street, Nintendo’s take on Monopoly, gave families another reason to fall out over the Christmas period with its devious property acquisition and investment-based gameplay.

As we enter the next year, it is clear that Nintendo is winding down on Wii production. The company line that it would continue to support the Wii alongside the Wii U was promising to hear. However, Nintendo’s release schedule says otherwise. The only titles that gamers in the Western world have to look forward to are Mario Party 9, Rhythm Heaven Fever, The Last Story and Pandora’s Tower, the latter two of which are only confirmed for the European market. With the Wii U not expected until the second half of 2012, it would seem that Nintendo fans are in for a bit of a wait.

To the Future

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Wii U Console

Can Nintendo pull it out of the bag with the Wii U?

2012 has the potential to be a very successful year for Nintendo. With new hardware come new opportunities, and Nintendo’s clever tactic of incorporating a touchscreen controller increases the appeal of the system to both core and casual consumers. Of course, innovation (or a gimmick, depending on your view) is a good way of initially roping people in, but it’s the software that decides whether they’ll stay. Nintendo’s biggest problem with its 3DS system, as stated above, was its inability to convey to customers the benefits of having a DS console that could do 3D. While advertising the Wii U shouldn’t be nearly as difficult, it needs games that utilise its unique features to maximum effect; but the titles announced at E3 are ports of existing or upcoming PS3/360 games, which doesn’t sounds particularly exciting. Therefore, it will be up to Nintendo to lead the way, much like it did with the Wii.

In brief, 2011 was a relatively quiet year for those that owned a Nintendo system, whereas it was somewhat tumultuous for the company and its investors. While the initial fanfare from the release of the 3DS and the announcement of the Wii U was wild, financial woes and a software drought not too dissimilar to the days of the Nintendo 64 and GameCube left a slight taste of disappointment for anyone with an interest or stake in the Big N. Here’s to hoping that in 2012, Nintendo pulls out all the stops and delivers a gaming experience (and the financial figures to back it up) that it typically has done in recent years to assert its dominance over the market.

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Make sure to check out our other Year in Review articles, coming every day before the new year.

Year in Review 2011: Microsoft

Year in Review 2011: Sony

Year in Review 2011: PC

Year in Review 2011: iOS

Year in Review 2011: Indie Gaming


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