Comments on: Apple challenges Sony and Nintendo

By: Mike, San Jose CA

Mike, San Jose CA — Sat, 20 Dec 2008 01:30:37 +0000

DAN – check it out. Apple donated $100,000 AGAINST Prop 8 – not for it. Google Apple and Prop 8

By: Thanksforvisiting

Thanksforvisiting — Wed, 17 Dec 2008 05:15:08 +0000

Apple has revolutionalized the mobile gaming music and phone industry with the Iphone and Ipod Touch. Who else but Apple? Immitators can try all they want.

I have started my own blog to get out all the latest and greatest on the topic

Come check it out at http://unlockiphone.asia

By: Games? Baltimore Maryland

Games? Baltimore Maryland — Tue, 16 Dec 2008 17:36:53 +0000

"Apple will hand out 70 % of the retail price and you don’t need to pay any other licenses or physical media or retail supply chain. Significantly, you don’t have the risk of producing too many copies or too little. Digital distribution will make sure you can always meet demand."

I am not sure where you got your information but Apple developers will still be stuck with the hosting cost for their product for an indefinite period. In addition the cost of physically producing copies the game is fully covered by licenser/publisher (Nintendo does charge to publish on there system but it is largely cost of the cartage its self and developers receive full legal backing from Nintendo because of the seal of approval). Having to work through Nintendo is only a challenge for large self publishing developers like EA who enjoy the extra profit and are large enough to handle the risk of the investment. Smaller developers rely on the financing, expertise and legal support a publisher or larger developer can provide for a project from development to release. Since most of the Apple developers are relatively small, I would assume the lack of a publisher really restricts their ability to raise capital for larger projects and mitigating risk to the company once they decide to work on a game. This is another way Apple is leaving these guys in the cold because they make their money from hardware sales (which aren’t driven by games). Apple isn’t charging these guys anything because they aren’t doing anything for them, and in all honesty have no real financial motivation to do so.

By: Dan, NC

Dan, NC — Tue, 16 Dec 2008 13:29:45 +0000

To all of the people who responded to my comments, run a search in the top right corner where it says 'search fortune' for Philip Elmer-DeWitt and then tell me how many articles he has written that haven't been about Apple in the last year. There might be two or three about Hulu…

ex ped: Dan, it's a blog about Apple. That's my beat.

By: Tom Ross, Berlin

Tom Ross, Berlin — Tue, 16 Dec 2008 07:32:05 +0000

Ok, and here is on more: Apple has a yearly turn-around cycle for their hardware, Nintendo and Sony plan for 4 to 6 years. If the iPod Touch shows some weaknesses in terms of gaming this year Apple has the chance to come out with an improved Touch next year (as far as it doesn't compromise the use as a media player and mobile browser) or even consider a more dedicated "iPod Game" that extends the platform with a directional pad and fire buttons.

Nintendo and Sony have to bet on one hardware design and stick with it for several years until the costs are recouped. The Nintendo DSi will probably be the last new hardware design we will see from Nintendo this decade.

By: Tom Ross, Berlin

Tom Ross, Berlin — Tue, 16 Dec 2008 07:23:02 +0000

A lot of good (and bad) arguments have been put forth in this discussion and I want to add one more that I haven't seen so far: The Apple platform has much lower distribution and licensing cost for software compared to Nintendo and Sony.

A typical Nintendo DS game that sells for $40 might have the following costs: $5 for the retailer, $5 for the distributor, $5 for the Nintendo license, $5 for the production of cartrige and packaging. So only $20 or 50 % of the retail price will arrive at the publisher/developer of the game.

Apple will hand out 70 % of the retail price and you don't need to pay any other licenses or physical media or retail supply chain. Significantly, you don't have the risk of producing too many copies or too little. Digital distribution will make sure you can always meet demand.

So a games company could sell the exact same game for $40 on the DS and for $25 or $30 on the iPhone and make the same amount of money per copy.

By: Mike Gruhlke, Idaho Falls, Idaho

Mike Gruhlke, Idaho Falls, Idaho — Mon, 15 Dec 2008 21:42:22 +0000

Hey DeWitt, get a life! In no way will Apple's ITouch or IPod take over the gaming market. Just another Apple hype column about low-end hardware sold by Apple.

By: Games? Baltimore Maryland

Games? Baltimore Maryland — Mon, 15 Dec 2008 21:24:21 +0000

Still waiting for a valid argument from the apple proponents: again the article stated Apple is going after Sony and Nintendo’s market share. Talking about how it appeals to people different from the DS/PSP crowd is not an argument it is a different point entirely. Again this article is about Apple claiming it is going after Nintendo and Sony’s market base. Which as was stated before it is not. No one is questioning that this hardware does a lot…. but inspire developers to take advantage as a media for gaming (at the caliber of what current portable gamers demand) no. Currently a console game has a development team of around 100 persons (size varies as project progresses) for one game for about a year to a year and a half (much longer production times are not uncommon however). A hand held between 35-50 and range to about six months to a year. Because of the marketing challenges on apple products the average app. team size is about three people for a couple of weeks. Obviously not the quality either a DS or PSP user expects. So why so small? Read some of the articles criticizing itunes bias for free-99-cent apps or the open letter from Craig Hockenberry. Basically if you make an apple app you have about a week to re-coop your investment judging by the MSRP on portable video games Nintendo and Sony have about 18 months to turn a profit and can utilize other forms of advertising besides itunes to market their games. Why is this important, well strong sales are pushed by strong games in the video game market, but apple can’t inspire that kind of investment from developers as a result the games needed to drive sales sill never materialize and neither will the sales (form Nintendo and Sony’s market).

By: Brian, Atlanta GA

Brian, Atlanta GA — Mon, 15 Dec 2008 20:31:19 +0000

Gaming on an Touch/iPhone is horrid. Sure the gyro and touch interface is cool, but the performance, depth and stability of the games completely stink. I haven't found a game that holds my attention longer than the average flash diversion. Don't fall for Job's ego induced rainbow of smoke and mirrors.

By: Tyler, Kansas City, MO

Tyler, Kansas City, MO — Mon, 15 Dec 2008 19:44:01 +0000

iTouch will win the cell phone market for games. To think it will dent Nintendo's handheld market is naive. Get in line behind the others that they've put in their wake for almost 30 years. It's a great electronic device, but don't pretend for a moment it's a gaming device. "But it's more than that!" Exactly. Games are not pushing this. I loved by Snake game on my TI calculator too.