Revenue
Perhaps more than any other video game company, Nintendo has the resources to be able to purchase multiple high-profile developers. This is because they have generated an unprecedented amount of revenue from record-breaking hardware and software sales for the Nintendo Wii and Nintendo DS. As a result, Nintendo has more money than just about any company in the gaming industry. Thus, they can afford a few big time developers.
Competition
Although Nintendo has been around the video game industry for more than 20 years, the competition has never been tougher. Both Sony and Microsoft have different segments in addition to their video game business. In other words, they are several times bigger than Nintendo. Therefore, the smaller Nintendo needs to grow if they want to stay ahead of Sony and Microsoft for the years to come.
Poor Third-Party Support
While the Nintendo DS is doing fine in regards to third-party support, the Nintendo Wii is a different story. Many outside developers are adverse to bringing hardcore games to the Nintendo Wii for a multitude of reasons including low-powered specs and disappointing sales. If they can't court third-party developers than Nintendo should purchase them to ensure that their Nintendo Wii fan base gets their hardcore titles in the library.
Slow Development Time
Nintendo has been traditionally slow at developing video games. This has become worst recently as their development core is being stretched out by the Nintendo DS and Nintendo Wii. Not to mention that most of the precious resources go towards casual titles; this, in turn, ends up angering the hardcore fan base. For that reason, Nintendo should buy more development studios in order to bring more games to the market.
Diversity
Nintendo is a Japanese company. As a result, they usually work with Japanese developers. The problem is that game development in that particular region has been lagging behind the west. In order for Nintendo to continually be successful in the future, they must work more with western development studios more. The best way for Nintendo to do so is to buy more developers in Europe and North America.
Nintendo has nothing to lose if they spend some of the excess cash to expand their development core for the Nintendo Wii, Nintendo DS and future video games systems.
Published by Otter
Otter is a free lance writer currently residing in San Francisco. He loves to play and talk video games. View profile
- The Top 5 Best Upcoming Nintendo DS Games
- Download Away on Your Nintendo DS
- A Review of Cooking Mama for the Nintendo DS
- Game Developers Conference Preview
- Nintendo President Challenges Developers to Create Bold New Games
- Why You Should Buy the Metroid Prime Trilogy for Nintendo Wii
- Why You Should Buy Professor Layton and the Diabolical Box for Nintendo DS



