Evidence receipt / observation
Published · transcript-backedDavid Rosenthal: observation
11 Apr 2023 Acquired Nintendo: The Console Wars
“All of a sudden, they're bleeding cash. It gets doubly bad because the only way out of this for them if they're going to keep their hardware strategy is to rush out a new console, which means they have to invest capital in R&D and in marketing for launching a new console.”
Source trail
Everything needed to verify it.
- Speaker
- David Rosenthal
- Attribution
- Verified speaker
- Claim type
- observation
- Recorded
- 11 Apr 2023
- Publisher
- Acquired
- Episode
- Nintendo: The Console Wars
Transcript context
…This saving grace that they had their entire life or from 1990 onward of no matter how much we screw up, our handheld gaming's system will protect us, shields are gone. Totally. Now, Nintendo is in a Sega, post-Saturn, and Dreamcast–type situation. There is an existential crisis happening. In Nintendo's fiscal year 2012, they report their first ever annual loss. This is a company that even during the crappy years was making half a billion to a billion dollars in operating income. It's just coming off the Wii year bonanzas, where they're making $5 billion in operating income. All of a sudden, they're bleeding cash. It gets doubly bad because the only way out of this for them if they're going to keep their hardware strategy is to rush out a new console, which means they have to invest capital in R&D and in marketing for launching a new console. They try and stem the losses both on handheld and mobile, it's rough. They rush out the 3DS, they rush out the Wii U as the successor to the Wii. The Wii U is a piece of garbage. The thing sucked. There are so many insights with the Wii U that are correct.…
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