Okay, nice that some people have reasons why this would be a good choice, but seeing as it is never going to happen, why bother? :)
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[Barrons] Apple’s Next Big Move? It Should Buy Nintendo
- Thread starter Pablo Mesa
- Start date
Video games are too small potatoes for Apple, they already make plenty from the iOS store on games. That and the headaches of trying to buy a Japanese company makes it not worth it.
The type of target Apple would be looking at would be Disney, not Nintendo.
Buying Disney would be a huge game changer for them and give them access to a monstrous content reserve and allow them to potentially topple Netflix with their own streaming service.
Game systems are really nothing, even the most successful one, PS4 averages like 17 million units a year ... Apple sells 200-215+ million iPhones a year and 40-50 million iPads a year.
The type of target Apple would be looking at would be Disney, not Nintendo.
Buying Disney would be a huge game changer for them and give them access to a monstrous content reserve and allow them to potentially topple Netflix with their own streaming service.
Game systems are really nothing, even the most successful one, PS4 averages like 17 million units a year ... Apple sells 200-215+ million iPhones a year and 40-50 million iPads a year.
It's not small though.
The gist of the article is Apple's growth has stalled due to maturation of existing markets. Apple + Nintendo would create synergies that is greater than the sum of their individual parts. Apple get access to Nintendo's IPs and fanbase, Nintendo gets access to Apple hardware and tech.
I think many people see those benefits. I'm ambivalent. Nintendo is unlikely to be sold via a hostile takeover, but working with Apple is never out of the question,
Video game consoles though don't sell enough to seriously warrant Apple's attention. Like I said the best selling consoles average maybe 17-18 million hardware units/year ... that's peanuts for Apple. The Apple Watch does that kind of volume.
Apple already has access to Nintendo IP on their iOS shop and vice versa. They already have Mario and Pokemon and Animal Crossing on iOS devices.
Disney is the type of company they would be looking at, not Nintendo.
Disney would be a better fit tbh.
Although Nintendo and Apple hardware have similar design philosophies
Although Nintendo and Apple hardware have similar design philosophies
Apple buying Disney would be a good play for them. That could open huge new revenue streams for them. Video games are just small potatoes, Apple's board of directors is not impressed with PS4 or Switch sales volume.
The two companies are actually pretty closely connected already. Steve Jobs was involved with the early days of Pixar.
Steve Jobs actually used to be on Disney's board of directors due to his Pixar stake. So yeah the two companies have a history.
Apple + Disney would be a good play for Apple.
Nintendo will be a 10+ billion company for FY 2019, with no debt and operating primarily in one industry. I'm not sure what you call that, but it's not small especially if what you're looking at is synergistic growth.
I'm not making a judgement one way or another, but dismissing ideas because video games are 'too small' is not a good argument against any acquisition.
Their sales volume the game industry would bring to Apple simply wouldn't impress their board of directors. 10+ billion for Nintendo is a lot of money given that Apple already gets Mario, Pokemon, Animal Crossing and soon Zelda and Mario Kart on their iOS platform.
Unless they have some kind of hard on for releasing a game console, I doubt Apple would even consider this. And I don't think that business model has much appeal to Apple, selling hardware at/near cost is a "no way" in Apple's book.
Like I said they're looking for something far bigger than that drop in the bucket.
Again the article is talking about Apple's growth issues and the Growth potential of acquiring something like Nintendo and synergies they can get with it, not what exists right now. And my point is, calling gaming 'small potatoes' is kind of like burying your head in the sand and hoping no one notices you.
Apple is just a shelf of itself from years ago.
Also, I think Nintendo is the only company of the world that would actually face-off some years of loss with something like a harakiri, but corporatively.
Also, I think Nintendo is the only company of the world that would actually face-off some years of loss with something like a harakiri, but corporatively.
User banned (3 days): Platform Warring
Because I could finally be able to try out Nintendo games without having to buy some gimmicky underpowered hardware.
And buying an £800 mobile phone to play that software solves that how?
Kinda ironic that Apple sells "underpowered" hardware compared to other manufacturers too.
Cos I would be getting that £800 phone anyway (although not normally an iPhone).
Apple's mobile chips are some of the best in the business.
Remember lots of people get 'free' premium phones with their ridiculous $100 a month 2 year locked contracts, so it tends to skew their view of hardware.
Nintendo's games are on iOS, you guys shouldn't have used that monkey's paw for your inane wish tho.
Not their full games though. Those could easily run on something like the iPad Pro or even the latest high end phones.
We can't always have what we want.
At least it looks like you'll be able to emulate Switch games on PC very soon.
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So basically it's taking the talking points tech pundits used 3-4 years ago about how Nintendo is stagnating and Apple would help, and flipping it around.
And just as similar it's grossly over stating Apples missed revenue. It was off by like 2%. Far less than Samsung so maybe Samsung should buy Nintendo.
I rather they merge with Microsoft or Sony don't want apple anywhere near the gaming industry switch will be 1800 dollars and half of the features and hardware will be removed every couple years
Your math is wrong. It was a 8% revenue miss for Apple.
There really aren't any synergies. Apple isn't in the gaming business - not on the software side, and not on the hardware side, both of which Nintendo spends a lot of time with to make sure they work together well.
A sub service to put Ns games on Apple devices wouldn't be very popular, given the control issues. That other companies with large, dedicated game divisions have experienced growth doesn't mean anything, as this is not an area Apple has expressed any interest in. Why would Apple do this over some other sector? What value is there to them to go into a random sector they have no experience or interest in and spend a colossal amount of money - over 10 times their largest acquisition to date, on top of massive integration costs and drag - to help build out the online capabilities for Nintendo? Apple doesn't need to create buzz for itself, and they absolutely don't need Nintendo games on their systems for them to sell.
On the other side, Nintendo doesn't need Apple hardware to move units, and wouldn't want to sign themselves away to Cupertino just for branding purposes when they'd give up some freedom/all about their hardware/software design, something they've been using as a means to stand out from the crowd for the last 3+ generations. Nintendo might be spending some time with mobile, but it's not even close to the scale Apple will want to see, and is mostly as brand extensions for their non-mobile efforts.
Nothing about this from a business, strategic, or financial perspective makes any sense. You can't just look at the numbers, see high growth and a profitable business, and expect that to be able to justify 40 billion dollars.
I would love this idea so long as Nintendo continues to have creative freedom, and maintains the price of their future hardware and software to the existing ranges. Apple's cash injection, chip design, material science and manufacturing would allow Nintendo to build amazing pieces of hardware. I just want an iPhone quality Switch.
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A Switch made by Apple would cost bare minimum $700 USD and would be comparable spec wise to the current $300 system.
No thanks.
No thanks.
A lot of Nintendo fans in here seem concerned, but think about what can go right.
Apple has $130 billion in net cash with $60 billion more cash coming in EVERY YEAR.
Can you imagine Apple putting billions to work investing in AAA game development across dozens of Nintendo franchises under the guidance of Nintendo?
More and more great Nintendo games every year. That sounds good to me.
Apple has $130 billion in net cash with $60 billion more cash coming in EVERY YEAR.
Can you imagine Apple putting billions to work investing in AAA game development across dozens of Nintendo franchises under the guidance of Nintendo?
More and more great Nintendo games every year. That sounds good to me.
You can easily split them in hardware and software companies and make them open hardware to other os and enable iphoneos/macos to run on other hardware.
The cash is another thing, it's an insult to the investors to not pay it out in dividends. The investors themselves know much better how to diversify and optimise their own portfolio, Apple does not.
Honestly that'd be solid and if anyone has the capital for it, it's Apple. I'd absolutely love to see this happen.
Less and less choice and competition in the games industry as more companies get swallowed up by the tech giants sounds fucking awful though.
This is absolutely not something consumers should be pining for, like holy shit people.
How about an Apple TV with a Nintendo Pro controller that can play every Switch game on your television for $200?
Apple actually makes the best, high performance ARM chips out there. ARM is what Switch uses.
This is easily possible technically. No brainer.
'Under the guidance of Nintendo' as if Apple would not dictate whatever it is Nintendo is doing if they buy them.
Why would there be less choice? Apple doesn't make AAA console games right now versus EA, Take Two, Microsoft and Sony?
In fact with Apple's financial firepower can make MORE Nintendo games.
Also Apple could maybe get Nintendo into the 21st century with tech and online infrastructure. They make amazing silicon and know a thing or two about online services, not to mention fucking fantastic industrial design.
Honestly, the more I think about this, the more I realize I'd fucking love it.
Honestly, the more I think about this, the more I realize I'd fucking love it.
