Nintendo Invests Huge Amounts in Game Development and Online Infrastructure

Image: Nintendo Life

Throughout the Switch generation, Nintendo has benefited from a lucrative period of steady profit, which has put it in a distinctly “wealthy” position. In the very presentation of the latest financial statements There are now ambitious plans to invest substantial cash in three key areas.

It is important to note that this money is in addition to standard investments in areas such as research and development, so this is a real sign of intent on the part of the company. We’ve broken it down below.

Games – Expand “Game Software Frameworks” – Up to 100 Billion Yen (Approx. US $ 880 Million)

Nintendo said it is primarily money to “organically expand” its game development resources and creative culture. This does not rule out mergers and acquisitions, but there is clearly hope for internal growth as a priority over simply buying other studios / companies.

Non-gaming entertainment – features similar to the Mario movie – Up to 50 billion yen (about US $ 440 million)

This will focus on development and software opportunities outside of the core gaming business, but moving into the core business. For example, projects like the Super Mario movie, partnerships like LEGO, and other interactive products.

Nintendo Accounts and Infrastructure – Expanding Customer Relationships – Up to 300 Billion Yen (Approximately $ 2.64 Billion)

This is a huge amount of money with an interesting purpose, especially in light of the criticism of Nintendo online and the account proposals. The focus is on “maintaining and expanding” the relationship with consumers through Nintendo Accounts in order to offer “the best experience and best service”. In addition to focusing on the digital transition, he will obviously seek to create a “unique Nintendo service infrastructure,” while My Nintendo and its products will also be overhauled as part of the investment.

In general, Nintendo is investing a little less. US $ 4 billion additional entertainment products and services that can really make a big difference in the medium to long term.

Let us know what you think of this update – are you excited about additional planned investments from Nintendo?

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