Iwata Doubts That PS4 & Xbox 720 Will Be Successful

Jun 14, 2012 by  

Iwata Unconvinced PS4 Xbox 720 Success

While the announcement of the Wii U‘s third-party lineup is still fresh in our minds, Nintendo President and CEO Satoru Iwata is taking some shots at the company’s two major competitors. Having to convince the world that the company’s products truly are groundbreaking is something Iwata is used to, but that isn’t preventing him from voicing his doubt that a new generation of consoles is even what gamers really want, or something developers are asking for.

In an interview with Telegraph, Iwata gave his impressions of the Wii U‘s reception, as well as the new tablet and cross-platform features shown with the Xbox 360 and PS3/Vita. After the introduction of the Wii’s motion gaming, followed by the Kinect and PlayStation Move, Iwata again sees the competition following in their footsteps.

Characterizing his company as the true innovators watching the other consoles attempt to keep up, Iwata didn’t pull any punches:

 ”It’s quicker than before… After our showing of motion control, it took three years for other companies to follow suit… But this time it’s just one year after our proposal, even before we’ve released the actual product… However, I have to point out that there are essential differences between what we are doing and what other companies are doing. The main difference is that anyone who has a Wii U will be able to enjoy the two screen experience, while the other companies are saying its optional, but only if you have this device or that device.”

It’s hard to argue that Microsoft and Sony weren’t spurred into action by the Wii U’s announcement of of dual screen console gaming at last year’s E3. However, some of Iwata’s claims come across as somewhat misleading. After all, the Xbox SmartGlass uses existing smart phones and tablets, meaning those who own an iPhone and Xbox 360 (that covers millions alone) face no additional costs for those features. That’s a much smaller barrier to entry than the need to purchase a Wii U for a still-undisclosed price.

Nintendo Attacks Sony Microsoft

Still Iwata believes that the retro-fitting of these new features onto existing consoles – regardless of how strongly they’re adopted – simply can’t compare to the Wii U’s ability to design experiences from the ground up:

“They can never realise the same gaming experience on a tablet. They don’t have the same devices that are requisite to play the rich gaming experiences we are talking about. Just imagine that you are playing with the traditional game controller and they are saying that you need an additional screen as well. Most of us just have two arms, so how are we meant to hold this additional device?”

Those who have kept up with our coverage of E3 2012 will know that we’re still waiting to find a “rich gaming experience” offered exclusively by the Wii U.  Nintendo might end up winning the fight for innovative gameplay, but at this point, attacking the competition without acknowledging their greater install base and cross-media inter-connectivity seems a bit hollow. Especially without any games capable of supporting two Wii U GamePads at launch.

Iwata wasn’t all bravado, admitting that the decisions made in launching the Wii as opposed to a high definition home console left plenty of fans behind. The new direction into the casual, motion control market didn’t just lead Nintendo to the release of the most popular and profitable console of the big three, but added a new dimension to every console from this point forward.

Unfortunately, it also meant that third-party developers had no choice but to skip the Wii when developing multiplatform titles. The team won’t be making the same mistake again, releasing a console that is capable of running the same games as the Xbox 360 and PS3.

While critics could point to the likely announcements of the PS4 or Xbox 720 a year from now as a sign that Nintendo will be repeating the same mistakes, Iwata’s optimism is…admirable:

“Even though the other machines are six years old, they have the advantage now because developers are capable of maximising the graphic capabilities, while with the new machine they will have to start from scratch to create the most capable graphics. So the Wii U has that room for improvement.”

Explaining that a longer amount of time required for developers to push the Wii U’s hardware to its limit is actually a positive is a particularly hard sell. Especially with developers already voicing frustration at this generation’s limited capacity as compared to the PC. But Iwata didn’t stop there.

Iwata Doubts Microsoft Sony

At present, he isn’t convinced that new generation of consoles is something that customers are really demanding, or something that developers would be willing to develop for:

“My impression is that the things that happened with Wii v 360 or Wii v PS3 won’t happen again… If they decide to increase the spec numbers, will the consumers be able to realise the difference enough so that they can understand it’s much superior to today’s machine? And also, if they beef up the processing power, that simply means much more work for software developers to take advantage of those spec numbers. So I have to ask the question if that type of differentiation really makes sense. But I think further arguments must wait until probably next year, when they have finalised and disclosed whatever they are thinking about for the next generation of consoles.”

There’s no reason in doubting the Wii U’s potential this early on – a lesson learned from the success of the Wii – but claims like these seem a bit too manufactured to offer anything to a debate on the future of home consoles. While Iwata claims that developers will be willing to spend years unlocking a new Nintendo console’s true abilities, he doubts that they’d be willing to do the same for a console that truly possesses greater hardware.

Nintendo clearly isn’t interested in waging a war of graphics – or online functionality – with Microsoft or Sony, but to claim that developers aren’t interested in pushing their storytelling abilities and fidelity forward is a little foolish, and potentially worrisome. With Epic pushing Unreal Engine 4 for next-gen consoles, successful developers failing to see promising software for the Wii U, and Crytek claiming that the PC is leaving consoles in the dust, the jury is no longer out on the need for better consoles.

The company might come up with some blockbuster, must-play gameplay experiences before the Wii U launches, but at this point doubting the need or desire for a new generation of consoles isn’t going to work in Nintendo’s favor. Coming across as the company that’s resisting advancement of technical performance and groundbreaking game engines is risky, especially without a killer app or even official price.

At this point every console is living in somewhat of a glass house, and rather than throwing stones, it’s better for everyone if they just focus on making their lofty visions for the future of gameplay a reality.

What do you think of Iwata’s comments on the competition, development, and the potential for the Wii U? Leave us your thoughts in the comments.

The Nintendo Wii U is expected to release before Holiday 2012.

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Follow me on Twitter @andrew_dyce.

Source: Telegraph

87 Comments

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  1. Nintendo may be right in this regard. Development costs for games will skyrocket for next gen systems resulting in increased retail prices for games. No one wants to pay 70-80 dollars for a game. Hell we don’t even want to pay for it now at 60 dollars a piece. Sony and Microsoft could go the route of a subscription based model so it’s cheap to obtain in the beginning but then they earn money from the monthly sub fee and games/peripherals/DLC etc. I heard MS’ subscription based approach is working well. I’m not sure how well exactly but we’ll see.

    • …..especially if devs get lazy with their games like most did this gen…..

    • Look it up they said the same thing about the original Xbox. Nintendo is going the way of Sega.

      • don’t even bring that up, if you don’t know why sega dropped out.

    • Indeed. Game development cost are going to be huge for next gen, which will impact on game prices, and those nowadays are much affordable for most of us.

  2. No good games coming, cough* pikmin 3* cough. Also, for all of you calling nintendo fanboys stupid you sure seem to be doing a lot of fanboy flaming yourselves. I’m glad the WiiU isn’t pushing the limit on specs because it will cheap enough for me to buy one, and it will out preform my T.V. in graphics anyway so why should I dish out hundreds of more dollars for a console that my screens can’t even max out? I shouldn’t because that is preposterous and I bet a nice big group of people on here don’t have 1080p televisions either.

    • If you are saying that your screen can’t support a next gen console you are very misinformed. A games graphics has very little to do with the resolution on your tv(other then enhancing the image). I would doubt any new console will be above 1080p. And as for buying a decent 1080p T.V. you can get them for around 1-2 hundred bucks it’s very afford able.

    • Damn you broke. ANY TV nowadays can handle 1080p. Hell, ipods can handle it. And if the only reason you’re getting the Wii U is cuz of Pikmin 3, have fun with whatever crappy third-party games get released.

    • Man Hunter are you playing games on a Tube television?

      Ouch, do you use a 56K modem too?

  3. Xbox will win, Nintendo will fall in the lake.

    • sorry dude, but nintendo always wins. the majority selling point is to kids. xbox 2nd no doubt. i love my xbox but my kids love mario etc….

      • Eh I doubt the new wii will sell with now little they actually innovated and how quickly bored people got with the wii, they are in for a world of disappointment. The wii’s sales landslided and this one will do the same or have few sales..

  4. Many people DO want the PS4 and Xbox 720, but many don’t. We don’t NEED them. What new and innovative gameplay features will they offer? Probably not many because the PS3 and Xbox 360 already have everything (minus backwards compatibility, which probably won’t be included in the PS4 or Xbox 720 either). They have great online functionality, great games, and lots of video- and music-streaming applications and services. They have online stores where you can buy games, DLC, etc. They have motion devices available. They have games with pretty awesome graphics. PS3 even has a book-reading service that will use motion coming up. What other things could you what? There’s really only one: better graphics. That is most likely the only major thing the PS4 and Xbox 720 will offer. Do you really want to pay $700 for better graphics? I sure don’t. We really don’t need the PS4 or Xbox 720 for at least another 5 years. However, they will probably come out within the next 3 years. Also, like mentioned my other people, development costs will go up for next-gen console games, possibly meaning higher priced games. PS2 games were $40, and PS3 games shot up to $60. PS4 games might shoot up to $70 or $80, which no one wants. So why would people be happy for that?

    • @Matt

      No next-gen for another 5 years!? 2014 seems like a good year to me.

      • We don’t need new systems in 2 years. My first comment explains why.

        • Matt you are wrong on many accounts I will explain why. First how is it impossible for them to innovate any more a decade ago no one would have considered half the things on these consoles possible, so you can easily miss the next innovation. Second both consoles will probably keep the price range of 300-400 for many reasons I list those earlier in the thread. As for development costs going up you are also wrong, development costs will not go up. Think about it, just because a standard rises doesn’t mean the production costs. The jobs salaries won’t go up, producing the product won’t go up, distributing it won’t go up. So how will the cost go up? The avg game straight from the developer is $25 it then goes to a supplier who sells it for $35-40 to a business(gamestop), there is a bit more to that but you get the just. In developing the most expensive thing is not initial development, but what they have to do to keep that product updated, which almost no companies but ones who make mmos do. Look at AAA computer games that are sold less then their competitors they are 10 bucks less even though they are more graphically enhanced just because they have no licensing fee for the pc. So tell me where will these prices increase? Companies are already afraid to raise prices because they can’t control used games. So stop exaggerating the price range will stay the same.

          • Mind providing some citations for those game cost figures, Chris? And explaining why the price of Xbox and Playstation games went up by $10 in this generation of consoles? And why the PS3 was said to cost $800 to build when it launched?

          • “And also, if they beef up the processing power, that simply means much more work for software developers to take advantage of those spec numbers.”

            You must have skipped that part of the article, because that means that producing games WILL cost more, which could, as I have made sure to say before, POSSIBLY cause the prices of games to go up. So next time you decide to showcase your “expertise,” at least do the reading.

          • Also, why in the world would Microsoft and Sony launch their next-gen consoles for $300-400? The PS3 started at $500 for the 20 GB version, and $600 for the 60 GB version. That’s $200 and $300 more than the launch price of the PS2. The Xbox 360 Core System launched for $300, while the Xbox 360 launched for $400, $100 more than the Xbox.

          • As for the citation for the game expenses are here(i assumed the developer was also the producer, some number changes if not) http://latimesblogs.latimes.com/entertainmentnewsbuzz/2010/02/anatomy-of-a-60-dollar-video-game.html

            and for the the console price I would like for you to look at these 3 links. (in order)

            http://www.gamespot.com/news/report-ps3-to-sell-for-399-cost-494-to-make-6128295

            http://www.joystiq.com/2008/12/23/ps3-costs-53-less-to-make-now-than-at-launch/

            http://www.computerandvideogames.com/303367/playstation-4-cheaper-to-make-than-ps3-sony/

            I hope that works.

            Though I could be wrong and the pricing goes up because of more 3D artists I still think it will remain constant. Here is a site for that also.

            http://www.insidegamingdaily.com/2012/04/03/game-makers-report-dev-costs-for-next-gen-will-double/

          • Matt:
            I think it’s fair to assume that they’ll try harder to keep things in the $300-400 range, even if it means they have to make the machines less powerful. Everyone saw how poorly the $500-600 launch went for Sony, and how well the $250 launch went for Nintendo.

          • Androol, they will definitely not make the machines less powerful to lower the prices. Power is what next-gen consoles are all about. A lot more power, a lot better graphics. Sony and Microsoft would not sacrifice power for price.

          • Matt, Androol means they won’t spend several hundred dollar on hardware. They can easy spend the same amount they did on these consoles and have a 4x stronger system. Hardware is easily outdated in a matter of months.

  5. with the popularity of 3rd party games, its all about which console’s hardware is most popular (not the best). personally i am a PC gamer. while i would love to see Nintendo rise up to their former glory, i expect Microsoft to win the war if the next-gen consoles, based on the popularity of their current Xbox 360. everybody chooses their favorites, blinded from seeing facts and statistics. while i wouldn’t be a bit surprised to see nintendo’s wii u surpass the current 360 and ps3, i wont care about who’s winning untill i can get my hands on something with virtual reality.

  6. “My impression is that the things that happened with Wii v 360 or Wii v PS3 won’t happen again… If they decide to increase the spec numbers, will the consumers be able to realise the difference enough so that they can understand it’s much superior to today’s machine?”

    True true true. HD is HD. it’s no longer SD against HD (wii against 360/ps3). Difference between Wii U and nexbox/ps4 graphics cannot be that significant. Maybe some minor bits, which I could not give a f..k about.

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