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"Large scale revision of the organizational structure of Nintendo" - 9/16/15

Neff

Member
But the NX won't just be a home console, at least based on what (little) we know.

Did I miss something aside from Iwata's ambiguous unified architecture plans or is there something a little more specific to suggest that NX is going to be a multiple hardware project? Because this seems to be something I've only seen here, and (to my knowledge so far) without basis.
 

Neoxon

Junior Member
Did I miss something aside from Iwata's ambiguous unified architecture plans or is there something a little more specific to suggest that NX is going to be a multiple hardware project? Because this seems to be something I've only seen here, and (to my knowledge so far) without basis.
Mainly the patent explicitly saying that software would be scaled in performance based on the form factor that said software is being played on. There's also the fact that Nintendo can't support separate console & handheld platforms without software droughts, anymore (especially with mobile gaming now becoming a thing at Nintendo).
 
I don't understand the economics of a third-party Nintendo. It's not guaranteed that their games will be more profitable on other platforms, and it's an immense risk to put their core business in the hands of another player. We forget that Nintendo, in spite of all the doom and gloom, is a financially sound company with a good track record of profitability.

Furthermore, Nintendo would be discarding the differential advantage of hardware-software integration by going software-only. Wii Sports became the best selling platform exclusive video game of all time for a good reason. Or, to quote the good Alan Kay: "People who are really serious about software should make their own hardware".
 

Shikamaru Ninja

任天堂 の 忍者
I think his point is that there are very few people comparable to Miyamoto in the entire industry, and not that Nintendo doesn't have younger talent

Genyo Takeda himself has a ridiculous resume. But Miyamoto few have the personality of Iwata and Miyamoto to really hang in the spotlight.
 
I've felt like Nintendo has been leaving a lot of money on the table by not making some of there back catalogue available on the 3DS/Wii U. I hope they realize that and step it up.
 

Nekofrog

Banned
I think his point is that there are very few people comparable to Miyamoto in the entire industry, and not that Nintendo doesn't have younger talent

That's dumb. Miyamoto had made a lot of great games in his day but he's not this monolithic entity that secretes creativity. There are probably hundreds of people out there just as talented and hungry that if, given the chance and the resources, can be just as good if not better. The fundamental lack of talent development is going to bite them in the ass.
 

justinluey

Neo Member
Everyone here dislikes Takeda for his hardware decisions and not giving us super-hardware.

Not everyone. I think they need to get back to his way of thinking. The last thing we need is another PC clone. PS4 and Xbox One have that market covered.
 
I've felt like Nintendo has been leaving a lot of money on the table by not making some of there back catalogue available on the 3DS/Wii U. I hope they realize that and step it up.

Honestly, I think that applies to everyone right now. Old movies and music recordings get re-released for modern machines all the time.

I realize it's much easier to do when there's a single platform to deal with (VHS, DVD, Blu-ray, CD, MP3, etc. were all standard formats) but in general the game industry hasn't found a good way to preserve old content. Too many games not available on all legal distribution channels.
 

spekkeh

Banned
I can see Fellow being an advisory function and Miyamoto and Takeda basically being it until their death. I would also imagine the next president will be one of their replacements, i.e. that they're vacating their spot so that the next president can be prepped in an executive function.
 

thefil

Member
I doubt Miyamoto will ever fully 'leave' Nintendo. He's far too invested in it, it's literally the man's life's work and he's a superstar because of it. I can see him no longer being officially employed after retirement, meaning he basically does whatever the hell he likes and comes and goes to Nintendo as he pleases, but I'm sure he'll continue to be around them until he's no longer able to.

It's super weird to say this about a person you've never met. We literally have no idea about his internal state. For all you know he hates and resents the company and only stays out of a sense of obligation. Not saying it's likely, just saying we can't infer anything.
 
I can see Fellow being an advisory function and Miyamoto and Takeda basically being it until their death. I would also imagine the next president will be one of their replacements, i.e. that they're vacating their spot so that the next president can be prepped in an executive function.
I think that's what most of us are assuming at this point. Seems a really safe bet.
 
I don't understand the economics of a third-party Nintendo. It's not guaranteed that their games will be more profitable on other platforms, and it's an immense risk to put their core business in the hands of another player. We forget that Nintendo, in spite of all the doom and gloom, is a financially sound company with a good track record of profitability.

Furthermore, Nintendo would be discarding the differential advantage of hardware-software integration by going software-only. Wii Sports became the best selling platform exclusive video game of all time for a good reason. Or, to quote the good Alan Kay: "People who are really serious about software should make their own hardware".

There is no economic to people asking Nintendo go 3rd party.

What you have there is a your run-of-the-mill bro, "core gamer" and similar crowd who has been dissing Nintendo since the PSX days because Nintendo is kiddie an not cool. The kind that would have friends come over to play and after they left they would pull out the latest Mario game from under the bed and play it on a fake profile on their mature and cool "real" consoles.
 

TheMoon

Member
So this is a thing: http://www.ign.com/articles/2015/09/14/nintendo-reveals-restructuring-plans

nintendo1ipuvf.png

nintendo2e5uwy.png


I guess that confirms the merger of SPD and EAD into EPD

Koizumi and Eguchi are now both Deputy GMs of EPD.

why does Shibata still have the same position but now it says he's equal to Deputy GM instead of just GM?
 

Shikamaru Ninja

任天堂 の 忍者
he's not "leaving EAD" ... look at it as being freed of the paperwork part.

Takeda and Miyamoto are in the twilight years of their career. Essentially, they are both acting as "vice-presidents" alongside Kimishima. Their job is working on the bigger picture of the company. There are plenty of 40-50 year olds who rightfully deserve the opportunity to move the ladder. It would be especially foolish not to train the mid-generation how to run the company.
 
Why don't they add a dedicated IP Monetization Department?

I know they already make money with their IP but they could do better without destroying both the image of the brands and the quality of the games.

2nd part of revision seems logical regarding what have been done in the past few years imo
Good to know they're going forward (but they should go fast forward).

Edit : Seeing Shibata as an equivalent of "Deputy General Manager of a division", will he be able to decide what has to come in EU untouched, what could come with a few adjustments and what shouldn't? I always believed he could give his opinion but Nintendo HQ would always decide, maybe I was wrong though.
 

Neff

Member
Mainly the patent explicitly saying that software would be scaled in performance based on the form factor that said software is being played on. There's also the fact that Nintendo can't support separate console & handheld platforms without software droughts, anymore (especially with mobile gaming now becoming a thing at Nintendo).

I get this, and it's to be expected, but does this patent specifically apply to NX? Or is it just something that came out of Nintendo and was applied by observers to NX? Iwata sounded like NX is intended to be something 'totally new' and mass market, another Wii if you will, which doesn't sound like it would apply to a dual format model if some fancy interface is involved. If NX's big surprise feature scales with software/hardware too, it would be huge commitment, but maybe a wise one if the surprise is as good as Iwata hinted at.

It's super weird to say this about a person you've never met. We literally have no idea about his internal state. For all you know he hates and resents the company and only stays out of a sense of obligation. Not saying it's likely, just saying we can't infer anything.

How do you know I haven't met him? Even if I hadn't, It'd be very easy to get a picture of where he's at professionally speaking from his work and the many, many interviews he's given. The idea that he resents Nintendo, even hypothetically, is remote in the extreme. He could have moved in many career directions should he have chosen to -even outside of videogames- based on his reputation alone, but he's stayed with Nintendo because that's clearly where he's happiest.

Yamauchi and Howard Lincoln both considered themselves part of Nintendo after they retired/left, and I wouldn't be surprised if Miyamoto felt the same.
 

TheMoon

Member
Takeda and Miyamoto are in the twilight years of their career. Essentially, they are both acting as "vice-presidents" alongside Kimishima. Their job is working on the bigger picture of the company. There are plenty of 40-50 year olds who rightfully deserve the opportunity to move the ladder. It would be especially foolish not to train the mid-generation how to run the company.

Do you think this will "interfere" with Miyamoto's comments from a few years ago saying he wants to take on more smaller passion projects? Or does that actually allow him to do this now? Maybe being less involved in the NX platform design is part of that too? Do passion projects like Pikmin 4 and Star Fox Zero on the side while doing the company-focused stuff the rest of the time without having to worry about running the entire software department.
 

Shikamaru Ninja

任天堂 の 忍者
nintendo1ipuvf.png


1. Looks like they split EPD (Entertainment Planning & Development Division) between Kyoto R&D (Eguchi) and Tokyo R&D (Koizumi). It will be very interesting to see how many production groups they decide on.. because now they will have too many. Perhaps some of the SPD/EAD producers will have to join Koizumi's unit.

2. Sakamoto and Tanabe and Tezuka? Wonder what their titles and roles are.

3. It looks like IRD and SYS (system development division) merged to form Platform Development Division. Obviously EAD and SPD merged to become EPD. And Business Development Division (previously it was a department instead of a division) probably also absorbed some IRD guys to lead the QoL and non-gaming products venture.
 

TheMoon

Member
1. Looks like they split EPD (Entertainment Planning & Development Division) between Kyoto R&D (Eguchi) and Tokyo R&D (Koizumi). It will be very interesting to see how many production groups they decide one.. because now they will have too many. Perhaps some of the SPD/EAD producers will have to join Koizumi's unit.

2. Sakamoto and Tanabe and Tezuka? Wonder what their titles and roles are.

What if this is the move that will potentially let Aonuma make something other than Zelda? Would be interesting :)
 

Datschge

Member
I noticed Yoshio Sakamoto isn't on there despite apparently being promoted to "Deputy Manager" of SPD recently. Truly the end of an era.
The second time he suffers that after R&D1 was replaced with practical nothingness.

Edit: I hate how IGN just shares some screenshots of some PDF instead linking to the actual source at least once. Anybody know if it can be found on Nintendo's IR site? It's at least not among their recent news entries.
 

the210

Member
There is no economic to people asking Nintendo go 3rd party.

What you have there is a your run-of-the-mill bro, "core gamer" and similar crowd who has been dissing Nintendo since the PSX days because Nintendo is kiddie an not cool. The kind that would have friends come over to play and after they left they would pull out the latest Mario game from under the bed and play it on a fake profile on their mature and cool "real" consoles.


I don't get these kinds of posts at all. There are many people who like some Nintendo games, just not enough to justify buying their hardware. Zelda was one of my all time favorites but I haven't played it since the N64 days because I can't justify buying a whole system for games that largely don't appeal to me. I would love to be able to purchase the occasional Nintendo game on my ps4.
Every time the subject comes up people play the but Sega did it and failed card. Most of those people can't seem to see the major difference in one company with very niche games and no money vs One with Disney like appeal and strong financials.
 

atbigelow

Member
I don't get these kinds of posts at all. There are many people who like some Nintendo games, just not enough to justify buying their hardware. Zelda was one of my all time favorites but I haven't played it since the N64 days because I can't justify buying a whole system for games that largely don't appeal to me. I would love to be able to purchase the occasional Nintendo game on my ps4.
Every time the subject comes up people play the but Sega did it and failed card. Most of those people can't seem to see the major difference in one company with very niche games and no money vs One with Disney like appeal and strong financials.

And how did they get those strong financials...?
 

Neff

Member
Zelda was one of my all time favorites but I haven't played it since the N64 days because I can't justify buying a whole system for games that largely don't appeal to me. I would love to be able to purchase the occasional Nintendo game on my ps4.

Abandoning their hardware market and going third party to appease selective shoppers who are only interested in one or two Nintendo franchises might not be the most financially sound plan.

People who like the majority of Nintendo franchises buy Nintendo hardware. They're the ones Nintendo caters to, and that's how Nintendo makes money.
 

Shikamaru Ninja

任天堂 の 忍者
"Creative Fellow" is one hell of a job title, huh.

I noticed Yoshio Sakamoto isn't on there despite apparently being promoted to "Deputy Manager" of SPD recently. Truly the end of an era.

Well again; Sakamoto, Tezuka, and Tanabe all had high department positions above the Group Managers / Producers like Aonunma, Konno, etc. I guess there is still a huge portion of information that isn't in our hands.
 
That's dumb. Miyamoto had made a lot of great games in his day but he's not this monolithic entity that secretes creativity. There are probably hundreds of people out there just as talented and hungry that if, given the chance and the resources, can be just as good if not better. The fundamental lack of talent development is going to bite them in the ass.

But Nintendo has been actively developing talent. You'll notice Zelda and Mario have both been helmed by someone else for a while
 

Shikamaru Ninja

任天堂 の 忍者
Do you think this will "interfere" with Miyamoto's comments from a few years ago saying he wants to take on more smaller passion projects? Or does that actually allow him to do this now? Maybe being less involved in the NX platform design is part of that too? Do passion projects like Pikmin 4 and Star Fox Zero on the side while doing the company-focused stuff the rest of the time without having to worry about running the entire software department.

It's hard to tell what are his passion projects and what are him doing HEAVY PR to try and sell the less famous IPs over. (Luigi's Mansion, Pikmin, Star Fox). It's not well publicized, but his passion project may have been the Shigureden Museum and the DSi / 3DS Guide series.

Although Shinya Takahashi wasn't elected President, this is the second biggest possible promotion. Dude is about to be a rockstar. Not only is he the new GM of EAD, but the combination of EAD and SPD - the largest pool of development staff ever under one man at NCL.
 

justinluey

Neo Member
Abandoning their hardware market and going third party to appease selective shoppers who are only interested in one or two Nintendo franchises might not be the most financially sound plan.

People who like the majority of Nintendo franchises buy Nintendo hardware. They're the ones Nintendo caters to, and that's how Nintendo makes money.

Bingo.

It's easy to forget that this is a down time for Nintendo and they've still managed to sell 60+ million current generation consoles that people are buying games for.

I also don't understand why this is always framed as a choice between "business as usual" and "going third party". Maybe the NX 'platform" will lead to some of their back catalog being available on non-Nintendo hardware.
 

Neff

Member
Although Shinya Takahashi wasn't elected President, this is the second biggest possible promotion. Dude is about to be a rockstar.

He's certainly got the hair for it. It's a big move but not surprising, his résumé is formidable.

I also don't understand why this is always framed as a choice between "business as usual" and "going third party". Maybe the NX 'platform" will lead to some of their back catalog being available on non-Nintendo hardware.

Water's wet, the sky is blue, and gamers still put on amazing shows of mental gynmastics to convince themselves that Nintendo making games only for Nintendo consoles is an affront to their entitled, dominant, one-console comfort zone.
 

Josh5890

Member
Looks like Nintendo is setting themselves up for the future. Hopefully this will lead to a more constant line of game releases/
 

ClearData

Member
Ninty is a bastion of excellent corporate management. People want to celebrate Apple (a great company too) but Nintendo has been in operation since freaking 1889. They know what they are doing. I'm sure the restructuring will pay dividends.
 
why does Shibata still have the same position but now it says he's equal to Deputy GM instead of just GM?

Apparently a division is a larger corporate entity than a department, so being President of NoE corresponds to either being the GM of a department or the deputy GM of a division. Man, corporate hierarchies sure are weird...


Do we know anything about the guys leading the new hardware division ("Platform Technology Development")? Ko Shiota has been given the management position previously held by Takeda. That seems quite a significant promotion as well (not as big as Takahashi's though).

Takashi Tezuka is conspicuously absent from the list as well...
 
Abandoning their hardware market and going third party to appease selective shoppers who are only interested in one or two Nintendo franchises might not be the most financially sound plan.

People who like the majority of Nintendo franchises buy Nintendo hardware. They're the ones Nintendo caters to, and that's how Nintendo makes money.

You state this with such certanity as if it were an absolute undeniable fact.
Where are your sources? Show me your professional market research that shows that Software revenue (nintendo fans) + hardware revenue - hardware operating cost is bigger then Software revenue (nintendo fans) + Software revenue (interesseted PS4/One/PC or Mobile users) - platform licenses.
I think everyone is just talking out of their ass, with no access to real numbers and market research to back them up.
 

Vena

Member
You state this with such certanity as if it were an absolute undeniable fact.
Where are your sources? Show me your professional market research that shows that Software revenue (nintendo fans) + hardware revenue - hardware operating cost is bigger then Software revenue (nintendo fans) + Software revenue (interesseted PS4/One/PC or Mobile users) - platform licenses.
I think everyone is just talking out of their ass, with no access to real numbers and market research to back them up.

You mean this?

Nintendo revenue breakdown (April 1st, 2012 - March 31st, 2013):

635.422 billion JPY - Net Sales

227.224 billion JPY (35.8%) - DS + 3DS Hardware sales - Revenue stream lost from going third party
136.852 billion JPY (21.5%) - Wii + Wii U Hardware sales - Revenue stream lost from going third party
32.270 billion JPY (5.1%) - Other Hardware sales - Revenue stream lost from going third party

Total amount of revenue streams lost by going third party:
396.347 billion JPY (62.4%)



144.588 billion JPY (22.8%) - DS + 3DS Software sales - Revenue stream modified from going third party
77.156 billion JPY (12.1%) - Wii + Wii U Software sales - Revenue stream modified from going third party
15.793 billion JPY (2.5%) - Content Income / Other Software sales - Revenue stream modified from going third party
1.535 billion JPY (0.2%) - Playing cards, Karuta, Misc. Income

Cost of sales: 495.068 billion JPY (77.9%)
Gross Profit (less SG&A): 140.354 billion JPY

Yeah that revenue could be partially made up through mobile...third-party exclusivity deals...stuff like that. But the question is whether that would be enough to offset the loss in revenue streams / whether the modified and new revenue streams would lead to greater profitability.

Or this?

I fail to see the benefit of it?
The company as it is couldn't exist, so their would take massive restructuring first.

They'd have to change their mission, staff, tools, company size, talent...

It's not like flipping a switch, we are talking a 100+ year old company with a philosophy that is incredibly different than the other two businesses you're referencing.

Pretty much would be bad for most people/industry in the long run. Probably better off just selling off their IP or becoming a liscensing company (like what Lucas arts now does) and manage from a branding perspective like an estate if you want them out of the business so badly
 

openrob

Member
I doubt Miyamoto will ever fully 'leave' Nintendo. He's far too invested in it, it's literally the man's life's work and he's a superstar because of it. I can see him no longer being officially employed after retirement, meaning he basically does whatever the hell he likes and comes and goes to Nintendo as he pleases, but I'm sure he'll continue to be around them until he's no longer able to.

A bit like Yu Suzuki - as in he left Sega, but is still in an 'advisory role' with the company. Although Miyamoto has been treated much better by nintendo than Yu was by Sega.
 
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