Nintendo’s Wii Storage Issues

Nintendo’s WiiWare channel is reported to be doing well (says Nintendo) and their Virtual Console games continue to invoke nostalgic downloads. Now, as Networked based gaming slowly starts to crawl on the console Nintendo has begun to realize they’re going to hit some storage issues.

The 512MB of internal flash memory is a bit lacking, especially considering you can purchase a 2GB flash drive for under USD $50.00 in todays market. While Sony and Microsoft work to increment their disk capacities in 20GB intervals Nintendo’s still trying to figure out how to solve their internal storage issues.

Although we initially heard that geeks would be the ones to hit the storage limitations Nintendo’s North American President and COO is readily admitting the pending issue, “we have a consumer base who loves virtual console. We have a userbase who really is enjoying WiiWare content. So for us really our challenge really is how do we satisfy all these consumers who are loving all of the product we make available on a download basis?”

The challenge in being a Japanese based company is understanding how American users consume your product. We’re much more likely to download content and spend money on products we’ve purchased 20 years ago. This is why we’ve got an American based Nintendo HQ to understand the ways of American thinking and trending.

While Nintendo Europe’s Europe’s Laurent Fischer sees only “geeks and otaku” utilizing the minimal disk capcity we here in the States can consume this space overnight. Imagine if we had downloadable content for Rock Band or Guitar Hero to pull down and play!?

As this becomes, as Reggie put it, a “mainstream problem” Nintendo is going to find their harder core demographic moving to other consoles that do it right and allow for expandability. There is a reason, after all, the other consoles cost a bit more to buy.

(Thanks, IGN)

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Although PlayStation 3 is still third in worldwide sales, behind the Xbox 360 by about 5-million units, the PS3 community services now have as many online gamers as Xbox 360 says Sony. Sony posted on their blog saying, “with 14 million active accounts and 273 million pieces of content downloaded, we know that you’re thirsting for this digital entertainment.”

Although US sales of the 360 are killing the PS3, the community membership does give gamers a reason to get online with the PS3. Nobody wants to buy into a console that has very few active online games or an easy way to find friends (*cough* Wii). Having 14-million users helps them bridge the sales gap by building gamer confidence. Social networking is the new term; gamers want to socialize with each other online and with their consoles.

Microsoft recently announced their 14-million subscriber base and continue to update folks when they hit big milestones. The main difference, LIVE is a subscription system — those 14-million gamers are also paying for the service (we’re not sure if silver memberships count in that figure) and this means income for Microsoft while Sony does their service for free.

Although Microsoft is making money on their service, no doubt Sony will bypass their total membership because it has no cost barriers to play. The biggest cost barrier to get on Sony’s network is the PS3 itself and many gamers hold out for price drops which aren’t coming anytime soon (so says Sony). However, building a larger community on a free network allows Sony to siphon gamers to buy downloadable content, games, music, movies and all the goodies that go with these services.

It seems a better idea to triple your audience with a free service knowing a large amount of “hardcore gamers” attach themselves to the easy to buy content on said service. So, is it better to make US $50.00 a year on half the population or give triple that population an opportunity to spend more money on content?

“Thanks to all of you, PS3’s momentum is stronger than ever. There are nearly 17 million PS3 systems around the world, and in the United States, PS3 hardware sales are up nearly 100 percent from where we were at this time last year. Software sales have tripled from a year ago. Yes, we’re proud about everything we’ve accomplished, and we’re even more psyched about where we’re going with our holiday software lineup” (playstation.com)

Eventually gamers may have access to Sony’s Home project, which could raise the community figures and give Xbox 360 something less to brag about. Although, we’re sure Sony would rather be boasting “number one” console again, at least they’ve finally got a win on their side because 14-million users is only the beginning for them.

Plus, it’s hard to argue free.

No New DS Redesign Until Sales FadeNo New DS Redesign Until Sales Fade

If you’re looking to see what the next greatest DS hand-held will look like, plan to wait until Nintendo starts to see declining sales trends for their current DS hardware. Sensible from Nintendo’s standpoint, but a major bummer for those hand-held gamers who want to see something new and cool out of the Nintendo camp.

While the DS sells great, many of us tech fans would love to see what a new generation of DS would look like. Perhaps something closer to the iPod touch in screen size and touch-abilities with real WiFi capabilities connecting to the Internet? Wouldn’t it be neat if they added GPS location and tilt abilities much akin to the iPhone or iPod Touch?

Personally, I envision a system where you are in total control of your character from leaning, to sliding, to moving your fingers around the screen and communicating over the Internet sharing high scores, drop-in drop-out multiplayer titles with complete voice communications.

Alas, Nintendo tends to gimp most of their hardware from hot innovation such as Internet communication, much like the Wii. While Nintendo has the next-generation capabilities now for Internet communication they’ve constantly opted to have a more useless version of connectivity to “protect the consumer.”

We need a DS store, much like the Xbox Live Marketplace for downloading DS casual games, considering DS game size is much smaller than a PC, PS3 or Xbox 360 title. We need a smaller form factor mimicking the iPod in thickness and durability with a larger screen or unfolding dual screen to double the size of an iPod style play area.

Hardware innovation seems to be more acceptable to Sony and their PSP product while Nintendo always opts for something more simple. Unfortunately, the PSP cannot compete against the DS which will leave them in the lead with very little desire to re-up their hardware with new capabilities and sexy new designs.

Oddly enough, the DS is the perfect device for the mass market which means they’re not going to be forced to innovate beyond its current capabilities for now. Apparently people don’t desire huge leaps in technology, screen size and speed, or we’d would probably see a decline or dis-interest in the DS hardware, thus forcing Nintendo to re-innovate and evolve.

The day will come, but probably not for a long time.

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The podcast also has two week’s worth of news items, including:

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  • Leisure Suit Larry Reloaded out in June, “re-made, expanded and enhanced”
  • BioShock Infinite, Xbox 360 lead March 2013 US sales according to NPD
  • Nintendo bowing out of E3 Keynote
  • Microsoft turned profit in fiscal 3rd quarter
  • Batman: Arkham Origins inspired by Legends of the Dark Knight

Plenty of Listener Feedback, but no Question of the Week – just ask us anything.