No 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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Buster Douglas Takes Down Mike TysonWhat Sony may be dealing with is the fact that they’re not top dog in the latest battle for consoles. Europe has taken to the PlayStation 3 better than the United States and they’ve got plenty of fans in the region. There has been a recent upside to it all, some light at the end of the tunnel:

“PS3 games sales are up 53% and there’s a healthy 1.1m pre-order book for Killzone 2, the first of a new batch of IPs that Sony will be counting on.” (guardian.co.uk)

Although it’s reported the PSP says are down 15% and PS2 software sales are down 51%, at least the PlayStation 3 is filling in the gap for some of those losses. At some point you’d expect the PlayStation 2 to decline, gamers are probably migrating over to the new hardware.

They’ve got some things to be proud of:

  • PlayStation Network increases revenues by 200% in 2008
  • 55% of all PlayStation owners are on PSN
  • 17.5 million PSN subscribers
  • 53% rise in software sales on PS3
  • Won HD format war

Unfortunately PS3 sales were down last quarter by about 9%, perhaps a response to the harsh economic times. And, of course, the fact that Sony’s VP’s are constantly defending their position in the market is a bit disconcerting. As David Reeves said:

“It’s like Ali v Foreman – go eight or nine rounds and let him punch himself out. We’re still standing, we’re still profitable and there’s a lot of fight in us. I don’t say we will land a knockout blow, but we’re there and we’re fighting.” (guardian.co.uk)

Sony is playing the defensive, guarding themselves against the punches of the competition. Nintendo making headlines for sales, Microsoft coming out of nowhere to try to build market share, while Sony holds out for the tenth round to win it in the end? We’re not yet sure if it’s Ali vs. Foreman or if Microsoft is the next Buster Douglas.

(Thanks, Guardian)

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Developers don’t get a dime when a game goes traded, many gamers will “share” the single player experience with a single copy of the game by reselling it over and over. The end result, retail outlets make a good penny for marking up old games while developers see nothing. This is really how game retail outlets survive because the margins on video games is so damn low.

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Braben’s idea of a solution is to offer two versions of the game, a not for resale/rental version at a high price, say $160, and a low priced version that cannot be shared (heavily DRM’ed?) for $50. In essence, gamers would no longer be able to trade in games because the idea of spending double for a game so you can resell it makes no sense to most gamers (including myself.)

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“If they truly dislike Square Enix, there is no point. All creators would leave the firm the moment the deal was done. It would be the equivalent of buying a building.” (reuters)

Although Tecmo hasn’t spit upon Square Enix and said they “hate” them, declining the take-over bid explains a lot about the direction Tecmo plans to go, and those plans don’t include Square Enix.

It would have been interesting to see what direction Square Enix would take with Tecmo. Perhaps Square Enix will look to another development company to bid on.