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what if Nintendo controls Bandai?

king zell

Member
Nintendo may buy a bigger stake in Bandai - Iwata

Rob Fahey 14:43 10/06/2004
Possibility of closer ties with key Japanese media powerhouse looms once more


Console giant Nintendo is considering the purchase of more stock in Bandai, one of the biggest holders of valuable media IP in Japan - although there are currently no plans for a complete buyout, according to Nintendo president Satoru Iwata.

Speaking at Nintendo's corporate strategy conference in Tokyo, Iwata expressed an interest in buying a larger stake in Bandai - extending its current 2.6 per cent share, which already makes it into the media company's ninth largest shareholder.

While Iwata tempered this comment by saying that Nintendo does not have any plans to buy out Bandai at the moment, he is clearly aiming to firm up the relationship between the two companies - and perhaps even to win a seat on the Bandai board for Nintendo, which could have serious implications for the Japanese games industry.

Bandai owns some of the most important media franchises for the games industry in Japan, including Gundam, Digimon, Dragonball Z and an enormous range of other properties - some of which, like Dragonball Z, are also strong sellers outside Japan. While the company already supports Nintendo's platforms, closer ties with the Kyoto-based firm would be a major boost to the fortunes of the platform holder in Japan.

Rumours that Nintendo was planning to acquire Bandai first emerged last year, when the company originally picked up its 2.6 per cent stake in the firm, and were quickly quashed by official statements from both sides - although in a curious interview which appeared in the Japanese business press, a son of the company's founder later claimed that there had been a conspiracy within the Bandai board to facilitate just such a takeover by Nintendo.

While both sides continue to hotly deny any possibility of a takeover, this latest announcement by Iwata is hard to see as anything other than a further step in a complex courtship dance between the two companies - which may not end in a merger or takeover, but is certainly heading for a scenario where Nintendo platforms enjoy even stronger support from Bandai's hugely important portfolio of properties.

http://www.gamesindustry.biz/content_page.php?section_name=pub&aid=3590


Gundam
Digimon
Dragon Ball Z
.hack
ONE PIECE
Inuyasha
Naruto

many more licenses than most Japanese companies.. also most of these games have huge selling power in Japan

Nintendo are very smart to try to strengthen their relations with Bandai out of all Japanese companies
 
From an old GameSpot article, after Nintendo bought that small percentage of Bandai, the Bandai executives (at least in my opinion) seemed outright bitter at Nintendo more than anything else. I'm not sure that Bandai likes the idea of Nintendo having a significant ownership of the company.

I could be completely wrong, of course, but that's just the way I read it.
 

Culex

Banned
fo shizzle said:
From an old GameSpot article, after Nintendo bought that small percentage of Bandai, the Bandai executives (at least in my opinion) seemed outright bitter at Nintendo more than anything else. I'm not sure that Bandai likes the idea of Nintendo having a significant ownership of the company.

I could be completely wrong, of course, but that's just the way I read it.

Hasn't stopped them from releasing 2 incredible Naruto fighting games on the GC.
 

GDGF

Soothsayer
If Nintendo bought Bandai, they would not only be one of the biggest game publishers in the world, but they would also be one of the largest toy makers in the world. They'd also have access to a huge number of high selling licenses (that you'd never see on a Microsoft or Sony branded system again)
 

sc0la

Unconfirmed Member
It (at least it used to be) fairly common for Japanese companies to own shares in each other, even among competitors at times. I forget what the practice was called (anyone care to refresh me)

that said they would definately be in an interesting power position if they were to gain a majority shareholder
 

king zell

Member
Culex said:
Hasn't stopped them from releasing 2 incredible Naruto fighting games on the GC.

Naruto GC games are from Tommy

Bandai games for GC :

B0000794JG.09.LZZZZZZZ.jpg

B0000A01GJ.09.LZZZZZZZ.jpg

B00011D1VI.09.LZZZZZZZ.jpg

B0000TC3XS.09.LZZZZZZZ.jpg


add to that : Dragon Ball Z and Rippit King
 

GDGF

Soothsayer
I'm not sure if it's right, scola but the first word that poped in my head was Kiretsu My japanese sucks now, though.
 

Matt

Member
Lost Weekend said:
If Nintendo bought Bandai, they would not only be one of the biggest game publishers in the world, but they would also be one of the largest toy makers in the world. They'd also have access to a huge number of high selling licenses (that you'd never see on a Microsoft or Sony branded system again)
I think that would be the point. The second Nintendo takes over Bandai (if they ever do,) Nintendo would stop being a game company and start being a multi media conglomerate, with animation studios, DVD distribution chains, toy factories, tons of new licenses, hell, even Cowboy Bebop. Half of me thinks Nintendo wouldn’t want that, the other half thinks it would make Nintendo into an incredible new force in the worldwide entertainment industry.
 

MASB

Member
I think buying out Bandai would be the best thing for Nintendo both for the short and the long term. All those IPs would help reenforce its gaming platforms, while giving Nintendo access to a variety of markets it didn't have access to/wasn't a force in before. It would be a win/win situation for Nintendo. If you're going to spend money on a buyout, you might as well go for the best you can get and Bandai would be that or close to it.
 

jarrod

Banned
neptunes said:
I don't think nintendo will ever fully own bandai
I don't either... but what about a Sammy style forced merger? At least Nintendo wouldn't have to worry about the talent leaving. ;)
 

WarPig

Member
Jesus, they've got like two or three fucking percent of the company, and that translates into buyout rumors? Criminy.

DFS.
 
Go ask the ninth guy in line to the British crown if he thinks he'll ever be king.

DFS.

If they invest more into Bandai, their ranking will increase above that. What I think Nintendo is actually trying to do is get itself a membership on that board. As a member of the board of directors it would alot some decision making power to Nintendo.
 

jarrod

Banned
WarPig said:
Go ask the ninth guy in line to the British crown if he thinks he'll ever be king.

DFS.
Fortunately for Nintendo they can just buy their way to a better position. Besides, murder ended with the Yamauchi regime...
 

jarrod

Banned
Bandai's always had hardware asperations anyway (Playdia, Pippin, WonderSwan, etc), I think they'd make a good fit with Nintendo. Then we'd just need a Capcom, Namo & Konami threeway any every major Japanese software company would have merged. :)
 
i say f bandai. nintendo needs to invest in some talented western developers. they've got plenty of japanese content on the cube and i think that support will be even stronger for the revolution. what they need is western developed titles and badly...
 

GDGF

Soothsayer
Anyway, the reason a buyout scenerio isn't a long shot here is that the president of Bandai's son has already gone on record saying that shareholders were seemingly taking action to allow for a takeover action by Nintendo, and of course if the shares are for sale and Nintendo is willing to buy...



Game over I win.
 
Cripes, this boyout or atleast a considerable stake would really benefit Nintendo. Bandai could make Nintendo based toys, anime, manga, and Nintendo would reap 90% of the profits since they own or have control of the company that will handle production.

Iwata, you sly dog, looking all innoicent with that toad look or yours. Can Yamauchi pick 'em or what.
 
Well, if I were CEO of Nintendo I'd certainly give the go ahead to do something like this. Say, 10% share of Bandai is all it would take to get your own CEO of the company- I believe the current CEO only has 3.4%, if I remember the above mentioned interview. I's also be buying out Visual Concepts and renting EA's Westwood studio while offering their "redundant staff" jobs.

Then again, none of this stuff is that easy, unfortunately.
 
Satoru Iwata's response when asked if Nintendo would make plans to purchase a third-party developer.

"That is absolutely not going to happen. It's not part of our culture to even think about outright purchasing a third-party developer."
 
That was a bullshit remark, anyway. Nintendo has bought developers in the past, and if the opportunity arose where Nintendo could get a fair price on a good developer now, it'd do the same. It'd be stupid not to.

If Nintendo bought Bandai right now, Iwata would just come up with another B.S. excuse as to why the "culture changed" or why it's not really a buy-out because of some stupid technicality.
 

sc0la

Unconfirmed Member
Lost Weekend said:
I'm not sure if it's right, scola but the first word that poped in my head was Kiretsu My japanese sucks now, though.
Ahh that is the word I was looking for. It has been quite a while since I took the development/economics class that we learned about it in.

Perhaps someone with a better memory can expand on "Kiretsu" for us?
 

einhard

Member
ironichaos said:
Satoru Iwata's response when asked if Nintendo would make plans to purchase a third-party developer.

"That is absolutely not going to happen. It's not part of our culture to even think about outright purchasing a third-party developer."

from what i remember he was basically saying 'you can buy a company but you cant force the talent to stay' which is a very good point, you dont have to look very hard to find examples of this... if nintendo makes a move on bandai it will be about the IPs
 
fo shizzle said:
That was a bullshit remark, anyway. Nintendo has bought developers in the past, and if the opportunity arose where Nintendo could get a fair price on a good developer now, it'd do the same. It'd be stupid not to.

If Nintendo bought Bandai right now, Iwata would just come up with another B.S. excuse as to why the "culture changed" or why it's not really a buy-out because of some stupid technicality.

Who has Nintendo bought in the past? I can't think of any.

As far as the buying of stock, I remember reading that the family of the original founder still holds some stock in Bandai. His son, Yamashina, has been outspoken in his disapproval of the selling of stock to Nintendo for “strategic” reasons. The current CEO of Bandai had asked Yamashina to sell some of his family stock to Nintendo but Yamashina refused. He feels the request was a way of weakening his families influence in the company. Yamashina also has talked about the need to keep the relationship with Sony strong because they’re the market leader.
 

DrGAKMAN

Banned
Controlling stake...yes.

Merger...maybe.

Buyout...probably not.

I would LOVE to see Bandai & Nintendo get closer. More exclussive Nintendo content, more content that meets thier core audiences, more influence for Bandai outside of Japan, more influence for Nintendo when it comes to toys/media/propaganda...all this and they don't have to worry about "talent" leaving them...'cos the money isn't in Bandai's talent...it's in Bandai's IP's!

What Nintendo should (and is doing) is to progressively buy more and more stock until they have control of certain things. Take away this PS2 release here, port this game to the U.S. market there, keep this game exclussive to Nintendo systems, etc. etc...until eventually Bandai's see's the light and realizes that consolidating the fans of thier games all to one system *and* to a system that sells to thier core audiences is a GOOD idea.

Being a Nintendo/Bandai/Japanimation fan makes this news oh so interesting to me.
 
I don’t see Retro as a buyout since they're one of the original co-founders. As far as Rare, SK, and Left Field, those aren't exactly buy outs either. I'm not sure about the Japanese companies, for all we know, they could be operating with the same deals they had with Rare.
 
RobotChant said:
I don’t see Retro as a buyout since they're original one of the co-founders. As far as Rare, SK, and Left Field, those aren't exactly buy outs either. I'm not sure about the Japanese companies, for all we know, they could be operating with the same deals they had with Rare.

Retro was founded to Jeff Spangenberg. Nintendo helped with start up funds. Spangenberg proved his ineptness and was fully bought out by Nintendo, for a measly million.

Again, Nintendo scammed MS with Rare, big time.
 
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