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Nintendo Earnings Report Sets March 2017 Release Date For NX

UPDATED: New information about Nintendo's limited plans for E3 and a delay for the new Zelda have been added to the story.

Nintendo President Tatsumi Kimishimi
Nintendo President Tatsumi Kimishimi

An update has been appended to the bottom of this article.

Though confirmed details on Nintendo's new console (codenamed NX) remain scarce, we now know that Nintendo plans to put the device on the market across the globe next March. This info comes from an earnings statement released for investors tonight, in which Nintendo has made public some of its plans for the next year.

Specific info on the NX is still slim, with the document simply referring to the NX as "a brand new concept" and reaffirming that the company's "unique software-led hardware-software integrated business" would be the "core" focus for the company. In other words, though Nintendo is exploring mobile games, toys-to-life, and other uses for its IP, expect console games to be the backbone even once the NX releases.

That said, the earnings statement did also detail Nintendo's plans in those arenas, too. According to the statement, Nintendo is planning to continue to release apps for smart devices, "to further expand [Amiibo] sales by offering new gaming experiences," and to offer theme park attractions featuring Nintendo characters. In a section attempting to justify the increased leveraging of Nintendo IP in non-game content.

With the belief in our mission to put smiles on people's faces around the world through products and services, we have followed our basic strategy of expanding the gaming population by offering products that can be enjoyed by everyone regardless of age, gender or gaming experience. We now want to take this mission a step further by increasing the number of people who have access to Nintendo’s intellectual property (Nintendo IP). We are actively offering Nintendo IP in a variety of different ways so that not only current players of our video games but all consumers - including those who used to play but currently do not and even those who have never played our video games before - will also come in contact with Nintendo IP.

On one hand, I appreciate Nintendo's stated interest in inclusivity. On the other, it feels like a really cleaned up way of saying "Oh boy, we really need to reach beyond the normal demographic and sell more stuff."

The earnings statement made no mention of the upcoming Zelda game, which could indicate that it won't release until fiscal 2017. [See below for Update.]
The earnings statement made no mention of the upcoming Zelda game, which could indicate that it won't release until fiscal 2017. [See below for Update.]

That read makes a lot of sense when you take a look at the financial side of this report. Life to date, Nintendo has sold 12.8 million Wii U units, which isn't a favorable comparison next to the PS4's 35M+ or the Xbox One's 19M+ units sold. With standout software sales from Splatoon (4.27 million units) and Super Mario Maker (3.52 million units), this year's Wii U performance isn't necessarily grim, but it does illustrate the limited scope of the Wii U's success. And while Nintendo is hopeful that Pokemon Sun/Moon, Kirby Robobot, and Metroid Prime: Federation Force will carry the 3DS in 2016, I'm a more than a little skeptical. So, I understand why the company would be looking for new sources of income. And when Miitomo, the company's first mobile app, has already brought in 16.5 billion yen (around $148M USD) in profit, it's easy to see why Nintendo wants to expand in that new direction.

You can find the whole earnings report here and can expect Nintendo to follow up with its usual investor briefing in the next day or so.


Nintendo has additionally announced that two of its upcoming apps will use the Fire Emblem and Animal Crossing IPs.
Nintendo has additionally announced that two of its upcoming apps will use the Fire Emblem and Animal Crossing IPs.

UPDATE: A post made by Nintendo UK's and tweets made by multiple divisions of the company have brought additional information to light about Nintendo's 2016 plans.

Chief among this information is that next game in the Legend of Zelda franchise has officially been delayed out of 2016 so that the developers can further polish the game. When it launches in 2017, it will launch simultaneously for Wii U and NX. Nintendo says that both versions of the games have been developed "in tandem."

You can expect to see more about the new Zelda at E3... and little else. The Nintendo UK post states that:

This June, Nintendo will focus its attentions on the upcoming game in The Legend of Zelda series. The Wii U version of the game will be playable for the first time on the E3 show floor, and it will be the only playable game Nintendo presents at the show, in order to provide attendees a complete immersion. Additional information about Nintendo’s E3 plans will be announced in the future.

In case you're wondering, yes, this means that the NX will not be at E3 in any capacity. Nintendo states that it "will not make an appearance at the upcoming E3 video game trade show in Los Angeles in June and will be unveiled later this year."

Over the past few months, I've been very excited to see what the future holds for Nintendo, but its hard not to see their handling of all of this as an unforced error. The initial earnings report is a practical necessity, since Nintendo is obligated to give its investors a heads up about its major plans for the year. And I understand that there are development realities, and sometimes you just don't have the positive news to bring to your fans like you'd like to. Sometimes console cycles don't line up neatly with press cycles, I get that.

I'm excited for the new Zelda but... I really hope that the E3 Nintendo Direct isn't just an hour long infomercial for the game.
I'm excited for the new Zelda but... I really hope that the E3 Nintendo Direct isn't just an hour long infomercial for the game.

But it was a real misstep for Nintendo not to present a crisp, fun, Nintendo-like message to consumers around this new information. Instead, they needed to dig through articles like this one, different social media feeds, and the report itself to piece together NIntendo's plan. It all makes a sharp contrast to the bright and funny Nintendo Directs that we've grown used to over the last few years.

I know I've been harping on this a lot lately, but it's important: Messaging matters. We saw it at the initial announcement of the Xbox One, where poorly thought out phrases and responses and badly explained console features became a weight around Microsoft's neck. We've seen it this year, as PlayStation fans give voice to their anxieties about the PS4 Neo. The lesson is: When you're doing something that you know your fans are going to react negatively to, get out front of it. Reassure them of a larger plan, explain the reasons for the bad news, and focus in on the positive. Without smart, on-brand messaging, many will imagine the worst--and once you've lost that fight, the rest becomes so much harder.

170 Comments

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TechnoSyndrome

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austin go to bed

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Aegon

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Also worthy of mention is that the NX will not be at E3. That's right. Not at E3 and releasing in March.

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ripelivejam

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Scoopin all night!!

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ripelivejam

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@aegon: probably gonna be their own stream/reveal maybe? It's not like nintendo has had any e3 presence the past couple years.

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D_W

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austin_walker

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Welp, guess 2017 is right on the money for that new Zelda, huh?

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HowDire

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Nintendo be cray

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Eribuster

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Eribuster  Online

Nintendo changes its approach to the show every year. This June, Nintendo will focus its attentions on the upcoming game in The Legend of Zelda series. The Wii U version of the game will be playable for the first time on the E3 show floor, and it will be the only playable game Nintendo presents at the show, in order to provide attendees a complete immersion. Additional information about Nintendo’s E3 plans will be announced in the future.

source

The Nintendo booth at E3 2016 is just going to be the "Zelda Wii U" booth.

This is nuts, Nintendo. Really nuts.

Does this mean...

SpaceWorld 2016?

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gerrid

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Dang, no new Zelda until 2017?

And if the NX version is significantly better, that's a pretty big kick in the teeth for any Wii U owners.

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Downpourguy

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Shoey920

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Edited By Shoey920

@austin_walker So do you news guys have a bat signal or something that gets you up in the middle of the night? I'm envisioning you checking your phone at 3AM and seeing this and immediately swearing as loud as you can. I love a good scoop as much as the next guy, but I'd like you to get some sleep man.

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WrathOfGod

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Christ. I've owned every Nintendo console since the N64 and I've never been happy with them compared to their competitors, so why in the hell am I holding out hope for the NX?

My god. Pure ideology.

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Novis

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Welp, guess 2017 is right on the money for that new Zelda, huh?

My biggest worry about this Zelda is them shoehorning whatever gimmick they have going into the NX like they did with Twilight Princess. ESPECIALLY since this Zelda seems to be them trying something different with the 3D Zelda like they did with 2D. Not filling me with a lot of faith so far here.

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ReallyNeat

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It's actually crazy that there won't be much NX talk (if at all) at E3. Is Nintendo pinning their hopes on a direct later? Will that be enough to appeal to the mass market?

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Springfart

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Austin "Scoops" Walker

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DarkbeatDK

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Edited By DarkbeatDK

Seeya NXst year!

Also, Tatsumi Kimishima looks like the kinda dude to ask you to rewind your Nintendo tapes when you're done with them.

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Niceanims

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Just in time for my birthday!

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Eribuster

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Eribuster  Online
@novis said:

My biggest worry about this Zelda is them shoehorning whatever gimmick they have going into the NX like they did with Twilight Princess. ESPECIALLY since this Zelda seems to be them trying something different with the 3D Zelda like they did with 2D. Not filling me with a lot of faith so far here.

The only new (and huge) undertaking they have said so far about the next Zelda is that it will be a really big world. Not sure what questionable gimmick they can put in that.

And given that we still don't know the nature of the NX... well, we have nothing other than it can probably play a game that is made for the Wii U just fine.

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johnnyspectre

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Awww man, this Zelda delay is a knife to the heart container.

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deactivated-63b0572095437

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No video or big announcement? What a weird thing.

Should we assume any Zelda footage from here on out is NX?

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bboymaestro

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WELP

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isomeri

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So are there any games coming out for the Wii U in the next 11 months?

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crithon

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by the time the NX is released, will the new powerful current consoles be out by then?

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BeachThunder

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In the meantime, can we get Capcom to create another 2D Zelda game?

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Jesus_Phish

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@thatonedudenick: This is all info taken from a earnings document, its business stuff - not PR stuff.

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kasaioni

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Man, I don't know if I wanna get rid of my Wii U or not. On the one hand it is my access to great games like Minish Cap, Wind Waker, Mario Maker, 3D Land, Twilight Princess... But I'm also not a very big Mario Maker fan. If I can find a GBA version of Minish Cap I may just get rid of it.

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Eribuster

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Eribuster  Online
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Error52

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Edited By Error52

Hmm. Nintendo generally releases their handhelds early in the year, while September/November is generally the time of it's home consoles. Exceptions for the former exist, (Namely the original DS and GBC) but it does seem to point to it being more of a handheld thing than a console thing.

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AroNoah

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@isomeri: More HD remakes? at this point they must of moved all their big projects to the NX

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dougfunk15

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Living in Korea, it was around 5 pm local time when this news came about on Twitter. Clicked to see which of the staff members was awake to post this and it's an East Coast guy!

Get some sleep Austin it's 4am! :p

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crithon

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@eribuster: I don't doubt Nintendo can make a profit out of it, but even saying "it will be up to par with the current consoles" makes Nintendo again look out of step from current trends.

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fram

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@kasaioni: Maybe wait and see if Wii U games work on NX? It's a long shot though, Nintendo has been happy to let folks rebuy the same games across multiple consoles.

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Amotter

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Literally no Wii U exclusive Zelda. Confirmed worst Nintendo console by their own doing.

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Eribuster

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Edited By Eribuster  Online

@crithon: Given what we know about the PlayStation 4 Neo, I'm not sure if I'm worried about Nintendo being anachronistic with the NX compared to the Neo's specs.

Then again, "We do not know the nature of the Nintendo NX."

@error52: If Nintendo is making a handheld that can play Zelda Wii U exactly the same, then that's amazing!

Seriously, there is at least a home console component to the NX.

@loamlife: Tatsumi Kimishima's work with Nintendo is not detailed at this point in time. All that can be determined is that he's a money man that kept his ships (The Pokemon Company, Pokemon USA, Nintendo of America) going. Given the wild ups and downs of Satoru Iwata's tenure, maybe Nintendo could be better off with a boring money man at the helm.

@amotter: TRUTH.

I was expecting at least a The Last of Us situation (comes out now, next-gen remaster ~1 year later). But, nope! Nintendo has spoken, "This is how hard the Wii U needs to die."

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jacksukeru

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The part where they said that the NX won't be appearing at E3 time, boy was that deflating. But I guess getting new details on what this Zelda game is actually gonna be will still probably be alright.

Boy do I wish I had said something back when those crazy people where convinced Zelda would make it out in 2015 though. The amount of "rubbing it in their faces" I would be doing right about now would probably be taken out of my international release due to cultural differences.

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AroNoah

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Edited By AroNoah

Well at Least Zelda is gonna come out on its 31st anniversary...

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Crash_Happy

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Edited By Crash_Happy

@TechnoSyndrome: Seconded.

@crithon Not like they can do anything about it though.

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tissot

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@shoey920: Nintendo's quarterly report was today/yesterday. So news from Nintendo was expected. Their quarterly numbers if nothing else.

I find it weird that they wont show the device in E3. 9 months from release. I guess it could be them just totally ignoring the "E3 is the place to announce new console" and doing their own thing week(s) after.

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Rebel_Scum

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Sure is gonna be a thin year til then for Nintendo. Fire Emblem is gonna drop on May 21st which I'll get but then that's it for a few years I imagine. I'm not an early adopter.

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Error52

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@rebel_scum: Pokemon S&M will probably carry them for that year.

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robowitch

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Can't wait for the mobile Fire Emblem dating app.

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selfconfessedcynic

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This was so surprising, I was left speechless for a good while.

Wow, Nintendo. Wow.

EDIT: Also, need to point out the great job you're doing @austin_walker. Cheers.

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AV_Gamer

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Edited By AV_Gamer

Simply put, Mobile device gaming is the future. Numbers don't lie and some of these mobile games earn over 100 million dollars a year. The major gaming corporations want a way to make lots of money without spending lots of money in the process. These so called AAA games cost a whole lot of money to make and it's not guaranteed that they'll make a profit. Truth is, the gaming industry is regressing back to the simple days of basic graphics and fun game play. That's why the most successful games in the past couple of years have been Indie games, while the so called AAA games have had nothing but problems... so much so that now Microsoft and Sony are coming out with updated consoles. It will be interesting to see where the gaming industry is in the next ten years. Especially with VR and 4K gaming being heavily pushed, which cost lots of money. Something has got to give.

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guanophobic

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Really looking forward to see what Nintendo is cooking up with NX. Hopefully we won't see stories like these after release.

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crithon

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@eribuster: I'm worried too at the timing of this, but Nintendo has done better business practices even during it's hardest times. Actually at the moment, I do wonder how Nintendo would have done VR considering how expensive the Vive and the Rift are? It's a hypothetical that could have been a Virtual Boy joke, but then again that never did ruin the company.

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Teddie

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So I guess we'll get that "hot" Skyward Sword HD this year instead huh?

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TreeTrunk

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blalala

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Edited By blalala

And when Miitomo, the company's first mobile app, has already brought in 16.5 billion yen (around $148M USD) in profit, it's easy to see why Nintendo wants to current to expand in that new direction.

@austin_walker This isn't actually true, it seems, the 16.5 billion yen figure is only mentioned as their total profit.

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ominousbedroom

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Edited By ominousbedroom

Interesting. That's all I can muster at this point. It's just an... interesting time to be aware of the going-ons in games right now. Nice reporting Austin.