Can Nintendo 3D Work?

When the current generation of video game consoles hit with the Microsoft Xbox 360, Playstation 3, and Nintendo Wii, I for one never looked to Nintendo as my brand of choice. Back in the 90's it was everybody's favorite company with an innovative console in the Nintendo 64 and some of the best looking and most fun games around. However as their competitors progressed, they misfired with the Nintendo Gamecube, and when the current generation hit I figured the Wii would be another bust. Promising bad graphics and less power than its competitors I saw no appeal, and I was sure other consumers would agree. I was drastically wrong as the Wii raked in cash by appealing to the casual gamer, offering a cheap price and motion controls that none of the other new consoles offered. But since 2008, after the initial boom for the Wii, Nintendo's stock has dropped 21% while their competitors steadily got stronger. Now, looking at their lowest net income in six years, they are leaning on their new 3Ds handheld gaming device to boost their sales, and I am once again skeptical about its impact.

The problem with Nintendo's strategy of going after the casual gamer was that once they sold them the console, a casual gamer probably won't buy many games because they aren't strongly invested in their Wii. When a consumer, likely a hardcore gamer, invested more money into buying an Xbox 360 or Playstation 3, they looked and needed to buy games in order to make purchasing the console worthwhile. After buying the Wii, a casual gamer looks to have some fun with it, but probably does not want to spend much money on new games. The Wii has lost further appeal now that their competitor's consoles finally cost a reasonable price and they too have motion controls coming out. Their motion controls look to be more ambitious, with greater capabilities than the Wii. The only thing Nintendo has new on their plate is the 3Ds, but the idea of a handheld gaming device changing their fortunes greatly in this day and age is a bit of a reach.

One of the reasons I doubt this as a game changer is because of Apple. Apple is beginning to churn out apps and games for Ipods and Iphones that will curb mosts' handheld gaming appetites. Though the 3Ds will probably be a fun gadget, it is not a phone, and while phones continue to move into the realm of gaming device with each passing day, the 3Ds will not move into the realm of mobile phone. The 3Ds' big selling point is the 3D screen it promises in its name as well as web access, touch screen, and a powerful processor for advanced games. They are trying to work with studios to bring streaming movies in 3D to the device, which would certainly be cool.

The 3Ds will probably be an interesting product, but there seems to be a lack of a market for it. It does not have the amazing processing capabilities of a stationary video game console like the Xbox 360, nor does it have the communication abilities found in a cell phone with limited but fun apps and video games, like the iPhone. Another problem I foresee with this is that in changing approach in going for the hardcore gamer, Nintendo is trying to steal customers who are probably loyal to Microsoft or Sony, and alienating all of those who purchased the Wii, who are just looking for simple gaming fun. I just can't see people saying they "need" to have the 3Ds with all the other alternatives around. 3D is getting annoying anyway.