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)

Before Sony fans unite to comment storm, remember, the PS2 had a lot of great games and continues to have games coming through for its console. People are still debating the life-span of the Wii product line, regardless to overall sales figures while the PS2 no doubt had a long live and still continues to have a long life, heck 30%+ of gamers still play the darn thing. Sony has been able to utilize the PS2 and its profitability to glide through the initial PS3 sales slump and get the momentum growing for their current generation console.
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