Random Gaming Thoughts

Anything that is gaming related that doesn't fit well anywhere else
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isiolia
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Re: Random Gaming Thoughts

Post by isiolia »

Exhuminator wrote: The amount of people in the world with reliable electrical access, versus the amount of people in the world with broadband internet access, is not a relatable analog in the context you are surmising.
Sure it is. You're talking about luxury entertainment products. They're never going to count every person on the planet as part of their market. All they need is a big enough customer base, which nothing on the market right now is even close to saturating.
3DS cartridges come in capacities ranging from 1 gigabyte to 8 gigabytes. Are you saying that the average mobile game is 1 gigabyte? Or that there are mobile games over 8 gigabytes large on an regular basis?
Average? Likely not - but it's also unlikely that many 3DS games are filling those carts either (not like they need high res texture data...). I mean you can find very popular stuff like Hearthstone that's what, an 800MB install, Baldur's Gate Enhanced that's over 2GB, Disney Infinity that's 2GB, and so on. The catch on those devices is likely more that they lack internal storage than ability to download.
Gamestop can't second hand sell PC games like they do console or handheld games, because of DRM online registration issues. It makes total sense that Gamestop limits their shelf space for PC games in that regard.
True, but at one point, half the store was PC boxes (least it was when I worked there), and that was alongside pushing used games on consoles. PC is largely about digital distribution.
You're conflating Microsoft's OS sales with their console division, which are wholly separate entities, and doesn't answer my original question whatsoever. As you yourself said; Windows 10 is available on physical media, and is being included preloaded with sales of physical computers. Negating the need to download it.
They are but they aren't. The point is that a lot of people have the internet connection to support that. Someone analyzing the market as a whole could easily look and see it. MS and Sony are very quick to offer downloads too - whether vouchers for 40-50 GB downloads in the box with their systems, or as part of Gold/PS+, or just selling digital games.
Actually Nintendo sanctioned the necessary codecs and channels for both Netflix and Hulu on the Wii:

http://www.wikihow.com/Connect-Wii-to-Netflix
http://www.hulu.com/help/articles/21004523
Did sanctioning them require paying codec licensing fees, like DVD playback would have?
Considering the 3DS and Wii U both support physical media exceeding the size of 3GB, I'd say the onus is actually on you to talk up why Nintendo would choose smaller file size formats for their next generation of games.
Not saying they would, just saying if they felt like it they would. Just like going with carts on the N64 or the Wiimote setup, etc. It doesn't have to fit what others want if Nintendo sees it working.
I think the reasonable thing is to offer both physical and download versions of their games. Which is what Nintendo is already wisely doing now. I see no reason or evidence to suggest that they would change this effective strategy going forward.
Digital gives them much greater control over content, all but eliminates preowned sales, removes retail hassles of shipping too many or not enough units...there are a lot of benefits for them, and less reason every year to stick with physical copies.
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Exhuminator
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Re: Random Gaming Thoughts

Post by Exhuminator »

isiolia wrote:All they need is a big enough customer base, which nothing on the market right now is even close to saturating.
I'm not sure how this equates to hand powered crank consoles or whatever the argument originally was.
isiolia wrote:but it's also unlikely that many 3DS games are filling those carts either
I'm not sure what the average is, I do know that Atlus routinely fills up 3DS cartridges to max capacity though. As evidenced by the publisher citing lack of dual audio dubs being included with choice releases as a side effect of running out of memory on 3DS carts.
isiolia wrote:I mean you can find very popular stuff like Hearthstone that's what, an 800MB install, Baldur's Gate Enhanced that's over 2GB, Disney Infinity that's 2GB, and so on.
The vast majority of mobile games are far smaller than that though. The ones you cited are outliers.
isiolia wrote:PC is largely about digital distribution.
That is true in the modern era. But it's also true that the PS4 and Xbox One and Wii U continue to support physical media and receive continued releases in that format. That means that PC gaming and console gaming are not direct analogs and don't make for the best contrasting example in that regard.
isiolia wrote:MS and Sony are very quick to offer downloads too - whether vouchers for 40-50 GB downloads in the box with their systems
When Microsoft and Sony begin to release 40-50 GB console games exclusively digitally, then that argument will mean something.
isiolia wrote:It doesn't have to fit what others want if Nintendo sees it working.
Have you read any official statements from Nintendo that lead you to believe they have a vested interest in abandoning physical media? Or do you just wish they would out of personal bias?
isiolia wrote:Digital gives them much greater control over content, all but eliminates preowned sales, removes retail hassles of shipping too many or not enough units...there are a lot of benefits for them, and less reason every year to stick with physical copies.
There's still one huge reason for physical copies though. It allows the product to be sold to demographics living in regions without reliable broadband internet. And as long as those demographics exist and are willing to shell out money for a physical game, why in the world would Nintendo turn that incentive down? The answer so far is Nintendo has not. I see no reason why they would change their mind on this matter any time soon.
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Gunstar Green
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Re: Random Gaming Thoughts

Post by Gunstar Green »

noiseredux wrote:I remember when Netflix announced the streaming thing as a separate subscription to the discs and I was like "noooo! I want my DVD's!!!" and like a year later I was like "man, I can't believe I used to sit around and wait 2 days to get a single DVD in the mail."
Man I remember what a scandal that was. People freaked out and there were all of these doom and gloom reports of angry folks unsubscribing. In retrospect they were just moving forward towards the near future where streaming has become ubiquitous.
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Exhuminator
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Re: Random Gaming Thoughts

Post by Exhuminator »

Gunstar Green wrote:In retrospect they were just moving forward towards the near future where streaming has become ubiquitous.
But not so ubiquitous to the effect that Netflix ceased offering DVD and Bluray rentals in tandem. https://dvd.netflix.com/ Proving there's still a paying internet challenged demographic for physical rentals of their service.

Also the original scandal was that Netflix used to offer streaming with the same package as their physical rentals. People got miffed when streaming became a separate service costing separate money. http://www.engadget.com/2011/07/12/netf ... aming-and/
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prfsnl_gmr
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Re: Random Gaming Thoughts

Post by prfsnl_gmr »

Exhuminator wrote:Or do you just wish they would out of personal bias?
Woah...You guys need to chill out a bit on the whole Nintendo digital distribution thing. My original statement was based entirely on speculation, and there are clearly pros and cons to abandoning physical media. Whether it makes business sense for Nintendo to do so is not my decision, and if it is even considering that option, I am sure Nintendo can afford to hire some very educated and intelligent people to examine the issue.
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Exhuminator
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Re: Random Gaming Thoughts

Post by Exhuminator »

prfsnl_gmr wrote:You guys need to chill out a bit on the whole Nintendo digital distribution thing.
I'm rather enjoying the conversation so I'd prefer to continue it actually. For instance, I'd be interested in what factors ignited your original speculation on the matter.
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prfsnl_gmr
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Re: Random Gaming Thoughts

Post by prfsnl_gmr »

Exhuminator wrote:
prfsnl_gmr wrote:You guys need to chill out a bit on the whole Nintendo digital distribution thing.
I'm rather enjoying the conversation so I'd prefer to continue it actually. For instance, I'd be interested in what factors ignited your original speculation on the matter.
Sure. They are, in no particular order:

* Nintendo's targeted advertising is heavily focused on the eShop, demonstrating that Nintendo views the eShop as its preferred method of content distribution.

* Nintendo has clearly put a lot of effort and investment into the eShop recently (to the point where I now prefer the eShop to PSN). Moreover, Nintendo switched to an "account based" digital distribution system similar to that employed by other companies selling digital games for multiple platforms (i.e., Sony), again demonstrating an increased focus on digital distribution.

* First-party games on the 3DS and WiiU are receiving more limited print runs, and Nintendo has been developing and publishing more "digital exclusive" content and games (e.g., DLC for Mario Kart 8, DLC for Super Smash Brow., Box Boy!, Pushmo!, etc.).

* Removing the mechanisms necessary to read physical media will reduce the cost of manufacturing Nintendo's next console significantly, allowing Nintendo to undercut its competitors more easily (something it has done with the 3DS, DS, Wii, and WiiU).

* The percentage of the population without consistent access to relatively-high-speed internet continues to shrink in the United States, and it is already incredibly low in both Japan and the European Union. Accordingly - and in light of the costs associated with producing and distributing physical media - serving this population is probably becoming increasingly unprofitable.

* Two of the most popular video gaming franchises with Nintendo's key demographic (i.e., Angry Birds and Minecraft) both started as digital-only experiences, demonstrating that popular (and incredibly profitable) children's video game franchises do not require physical media.

* Nintendo has perhaps noticed that its games command a significant premium in the secondary market, and switching to a digital distribution model will allow Nintendo, through the use of selective pricing, to retain more of the profits associated with its content (instead of letting them go to GameStop and other resellers of Nintendo's products).
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Exhuminator
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Re: Random Gaming Thoughts

Post by Exhuminator »

prfsnl_gmr wrote:Nintendo's targeted advertising is heavily focused on the eShop
I am not exposed to Nintendo ads on a regular basis, so I have no comment on this. If these are online ads then it makes sense to see them advertising online services. Whereas if you were in a brick'n'mortar retailer you might see physical advertising materials accordingly.
prfsnl_gmr wrote:Nintendo switched to an "account based" digital distribution system similar to that employed by other companies selling digital games for multiple platforms (i.e., Sony), again demonstrating an increased focus on digital distribution.
I'd counter that aspect again shows Nintendo always lags behind Sony and Microsoft when it comes to online integration. Further demonstrating the possibility of Nintendo going all digital before either Sony or Microsoft even less of a possibility.
prfsnl_gmr wrote:First-party games on the 3DS and WiiU are receiving more limited print runs, and Nintendo has been developing and publishing more "digital exclusive" content
I'd have to ask for a source citing Nintendo has been intentionally limiting its prints lately. And while they are offering special DLC, Nintendo has also been offering special physical incentives with their retail releases. Such as:

http://www.gamestop.com/nintendo-3ds/ga ... dle/119692

http://ecx.images-amazon.com/images/I/9 ... L1500_.jpg

http://www.zeldadungeon.net/wp-content/ ... n15L9s.jpg
prfsnl_gmr wrote:Removing the mechanisms necessary to read physical media / something it has done with the 3DS, DS, Wii, and WiiU
The mechanisms removed from those revised devices were ones that facilitated backwards compatibility with previous platforms. The primary media mechanisms incorporated into those devices for reading their proprietary physical media remained even after revisions.
prfsnl_gmr wrote:it is already incredibly low in both Japan and the European Union
I 100% agree that internet access is far better in those countries, an advantage having to do with much smaller landmasses to wire up for broadband. However the USA being as large as it is, with scattered population centers as it has, does not have the same internet advantages. Hence broadband access in the USA is not comparable to UK and Japan at this time. Nor will it be in 2016 when the NX is revealed.
prfsnl_gmr wrote: Two of the most popular video gaming franchises with Nintendo's key demographic (i.e., Angry Birds and Minecraft) both started as digital-only experiences, demonstrating that popular (and incredibly profitable) children's video game franchises do not require physical media.
Those were profitable ventures yes indeed. But neither of those franchises were created by Nintendo, and as such fail to exhibit any relevance to Nintendo's own internal distribution methodology.
prfsnl_gmr wrote:Nintendo has perhaps noticed that its games command a significant premium in the secondary market, and switching to a digital distribution model will allow Nintendo, through the use of selective pricing, to retain more of the profits associated with its content
That necessitates Nintendo pricing its digital version of a game at a lower price than the secondary market commands. Not an optimal outcome compared to say a reprint.
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isiolia
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Re: Random Gaming Thoughts

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Exhuminator wrote: I'm not sure how this equates to hand powered crank consoles or whatever the argument originally was.
The original (and still) point is overall market size. Broadband internet is supposed to be at what, about 80% penetration in the U.S. by now? Of probably around 320 million people. The current consoles have sold maybe around 5-10 million units here, meaning they've still got a lot of potential customers that have a strong internet connection. Same with any future device.
The vast majority of mobile games are far smaller than that though. The ones you cited are outliers.
So are big RPGs with full voiceovers. Just looking at new/bestsellers, Codename STEAM is 1.1GB, Majora's Mask 3D is 660MB, Fantasy Life is 856MB, etc. Wii U games aren't even necessarily that big. Captain Toad clocks in under 2GB, Mario Party 10 is about 3, as is Kirby and the Rainbow Curse. Lotta the stuff that Nintendo makes is relatively small.
That is true in the modern era. But it's also true that the PS4 and Xbox One and Wii U continue to support physical media and receive continued releases in that format. That means that PC gaming and console gaming are not direct analogs and don't make for the best contrasting example in that regard.
Still, they push for it a lot, and anything on the market could discontinue discs tomorrow and probably still do decent business. You might buy a disc, but patches are practically a given, they push DLC that you won't get if you're not connected, and so on.

I mention it in large part, again, to illustrate how download/internet oriented the consumer electronics market is. It's no longer some cutting edge fringe market that has the connection and inclination to do that, it's the mainstream option.
When Microsoft and Sony begin to release 40-50 GB console games exclusively digitally, then that argument will mean something.
I think Sony has a few F2P MMOs that'd fall under that, but then again, they're MMOs so a connection is a fair assumption. :lol:
Have you read any official statements from Nintendo that lead you to believe they have a vested interest in abandoning physical media? Or do you just wish they would out of personal bias?
Neither? I'm just accounting for general trends from Nintendo, which make me feel like they're more likely to be the first to go all digital, not the last. Personally, I don't tend to buy digital if physical is a reasonable option. I'm not basing my speculation on personal preference.
There's still one huge reason for physical copies though. It allows the product to be sold to demographics living in regions without reliable broadband internet. And as long as those demographics exist and are willing to shell out money for a physical game, why in the world would Nintendo turn that incentive down? The answer so far is Nintendo has not. I see no reason why they would change their mind on this matter any time soon.
Because including the option for physical media costs them money. The console has to include a drive/card slot to read it. Downloaded games need storage, sure, but local storage is a given at this point either way. I think the CNN cost breakdown of the Wii U put the optical drive at $17, but I mean, that's $170 million or so saved so far if they didn't need to include it.

Then there's the matter of manufacture, distribution, and other retail stuff. That's...actually a decent chunk of a game's price on the shelf (older breakdown here).

If Nintendo charges retail pricing via the eShop, they're making a -lot- more per unit, on copies that can't be resold (no retailer margin, no cost to manufacture/ship, though there's hosting costs). Maybe that doesn't translate into 50% more sales exactly, but they could see more per-unit sales as a result.

At some point, the cost of catering to the folks who can't/won't go digital will be greater than the potential profit from selling to them (if it isn't already). It stops being an incentive, and turns into a poor business decision.
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Exhuminator
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Re: Random Gaming Thoughts

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isiolia wrote:Broadband internet is supposed to be at what, about 80% penetration in the U.S. by now?
Broadband access and reliable-uncapped-broadband access are different things though. The latter is what is needed in large conformity in order to achieve the market penetration a digital only console would require.
isiolia wrote:Lotta the stuff that Nintendo makes is relatively small.
Yet despite how small some of those games are, they still got physical releases regardless. Which tells me Nintendo still finds value in the format.
isiolia wrote:You might buy a disc, but patches are practically a given, they push DLC that you won't get if you're not connected, and so on.
On the flipside, it happens often that popular Sony and Microsoft platform games are released as GOTY editions with those patches and DLC included on disc. So that stuff is still accessible to offline gamers eventually.
isiolia wrote:It's no longer some cutting edge fringe market that has the connection and inclination to do that, it's the mainstream option.
Until Microsoft and Sony drop their physical media integration in their consoles, I can't agree it's the mainstream option. If either of them put out a PS4 or Xbox One revision that did not include an optical media drive, then we would be seeing a true tonal shift.
isiolia wrote:Because including the option for physical media costs them money.
Just as cutting out a significant portion of customers who don't have true broadband access also costs Nintendo money.
isiolia wrote:I think the CNN cost breakdown of the Wii U put the optical drive at $17, but I mean, that's $170 million or so saved so far if they didn't need to include it.
I don't think it would take Nintendo long to recoup that $17 drive per console. Especially if someone buys a new game that they developed, published, and distributed themselves.
isiolia wrote:If Nintendo charges retail pricing via the eShop, they're making a -lot- more per unit
I'm not saying digital only games aren't more profitable. I'm saying that cutting out physical game discs at this point in time is unprofitable.
isiolia wrote:At some point, the cost of catering to the folks who can't/won't go digital will be greater than the potential profit from selling to them
I agree that when that tipping point is reached, the shift will happen. But until then Nintendo seems to want to play things safe. I mean look at New Super Luigi U, Wii Sports Club, and NES Remix for example. They were all digital only titles that Nintendo decided later to release physically. They didn't make that choice on a whim.
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