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[BreathOfTheWife]

Nintendo - 12.22 billion USD of operating profits from 2017-2020
Sony gaming division - 10.98 billion USD of operating profits from 2013-2020

Nintendo and Sony GnS operating profits

Spoiler

1st party games and Nintendo hardwares are the primary contributors to the high operating profit achievements. Profits margin from those two segments must be high in comparison to other gaming companies.

 

[I Love Rock 'n' Roll]

Shure, porting 5 years old WiiU games on a brand new hardware with no BC to sell them 60€ is not costing. Still, it works!

 

[GeorgPrime]

Shure, porting 5 years old WiiU games on a brand new hardware with no BC to sell them 60€ is not costing. Still, it works!

There are many Wii U games who just deserve this.

They had literally no real install base to sell that good on Wii U

 

[Hudo]

This thread will be quite entertaining.

 

[Fbh]

Not that surprising.
The Switch has been selling like crazy and Nintendo has a very profit focused approach.

Just look at Software. Nintendo games don't drop in price and their top franchises remain as top sellers for years upon years.
The average Sony game is $20 within a year and most sales are on the first or at most first 2 years.

And then you have stuff like how the Average Sony AAA game probably costs 20x more to make than a mid tier PS2 game like Pokémon Sword despite usually selling substantially less

Same with hardware. Traditional consoles try to put as much power for as low a price as possible. Nintendo designs their stuff to be decently profitable from day 1.

 

[Orta]

What? Blasphemy!!! This cannot be!

 

[Bodomism]

You beat me to it op, Mega awesome feat by Nintendo.

Can't wait for more record breaking feats by Nintendo.

 

[TintoConCasera]

You beat me to it op, Mega awesome feat by Nintendo.

Can't wait for more record breaking feats by Nintendo.

Just wait for March the 26th, I'm sure Monster Hunter Rise will sell like hot cakes.

 

[Redlancet]

When u have the luxury to develop a game like Mario kart 8 and sell two times at full price without any effort and maximun reward its easy to see why

I have a Switch and cant Wait to play all this sexy new next gen games xD

 

[BennyBlanco]

Switch is a beast

 

[TLZ]

Didn't I read a while ago that PS4 has made the most profit in console gaming history? So now Switch beat that?

 

[royox]

Nintendo is selling on Switch for full price games that they released on WiiU years ago...and they are selling as hot bread...so good for Nintendo I guess, bad for WiiU owners like me.

edit: damn, they are even selling ROMS of N64 and Game cube for 60 bucks and people are buying them. Nintendo can put the Nintendo logo on a dog shit and people will kill to buy it.

 

[Retinoid]

Nintendo churn out the same 3-4 low-risk IPs every year so this isn't surprising. Not hating, just stating the facts of their business model. I'm sure the margins on the Switch hardware are quite high as well.

 

[Captain Toad]

We Nintendo fans are a special breed. Not only do we pay triple the price for games, but we love to brag about it.

 

[Hosam6xavi]

Nintendo will always be the king of console and handheld

 

[Danjin44]

Switch is a beast

 

[digital_ghost]

 

[Bodomism]

Nintendo is selling on Switch for full price games that they released on WiiU years ago...and they are selling as hot bread...so good for Nintendo I guess, bad for WiiU owners like me.

edit: damn, they are even selling ROMS of N64 and Game cube for 60 bucks and people are buying them. Nintendo can put the Nintendo logo on a dog shit and people will kill to buy it.

Best selling PS4 and XB1 game is GTAV and enhanced port of PS3 and XB360 game.

 

[Topher]

That is an impressive feat. That first party Nintendo IP is so damn strong.

 

[cireza]

Nintendo are absolute masters at running a profitable business.

 

[Great Hair]

Very impressive with just two games.

... no nioh 2 or bloodborne or RDR2 tough.

 

[TheMooMan]

If you didn't own the WiiU, the Switch is a great console.

As someone who loved my WiiU, my Switch has largely been collecting dust.

Struggling Nintendo is best Nintendo, this lazy approach is profitable but disappointing. I wish we had double the original titles, rather than them relying on so many ports. We haven't even had a new Mario Kart.

 

[namekuseijin]

that's awesome!

that surely means Nintendo fans are getting at least 2 Nintendo GOTY every year, wow

 

[Rudius]

You can have a mostly profit approach like Nintendo, with few really good games per generation and many cheap ones; the opposite of that, with many good games and not a lot of profit, like Sega of old, which is unsustainable; or you can go the Sony route, as a middle ground.

I know many will say Nintendo makes great games and deserves the profit, but the hardcore fans have a love-hate relationship with the company and are often unsatisfied with the lack of meaningful games for long stretches of time, while Sony fans only had that complaint with the Vita.

 

[Gandih42]

Very impressive.

I have a Switch myself and love using it, but it baffles me how they are able to maintain such high prices on older games. Especially when games on all other platforms are discounted heavily and frequently, even newer ones.

Such high volume sales at such high prices. That shit is nuts.

 

[Bodomism]

Bowser's Fury is the next 10 million seller.

 

[sunnysideup]

selling ancient hardware and repackaged games pays off.

 

[b6a6es]

Congratulations on Nintendo for reaching this milestone, as PS4 previously held the most profitable game system

top 4 most profitable game systems as of now

1-Switch
2-PS4
3-DS
4-Wii

 

[MagnesG]

Didn't I read a while ago that PS4 has made the most profit in console gaming history? So now Switch beat that?

That's true, and I got bullshitted by saying we should wait Switch numbers for 2020 last year.

 

[Cyberpunkd]

Struggling Nintendo is best Nintendo, this lazy approach is profitable but disappointing. I wish we had double the original titles, rather than them relying on so many ports. We haven't even had a new Mario Kart.

The reason they relied on the ports was exactly because they struggled with the WiiU. They went for a different console which was a radical change and offset the risk by relying on their most popular IPs. New console + new IPs would have been too much of a gamble.

 

[Mister Wolf]

I hope Nintendo/Nvidia really try to push portable gaming tech forward with future Switch successors. Will be disappointed if we don't get a better Switch this year.

 

[TheMooMan]

The reason they relied on the ports was exactly because they struggled with the WiiU. They went for a different console which was a radical change and offset the risk by relying on their most popular IPs. New console + new IPs would have been too much of a gamble.

I'm not saying that it's the wrong business decision.

I'm saying, selfishly, I prefer the Nintendo which has something to prove and goes all out with new games. This safe approach of recycling games has been rubbish as a lifelong Nintendo fan who has played most of them already.

 

[MrA]

1st party games and Nintendo hardwares are the primary contributors to the high operating profit achievements. Profits margin from those two segments must be high in comparison to other gaming companies.

Miss read the chart, anyone asking why Nintendo doesn't go third part, there are 3.45 billion reasons why

 

[GeorgPrime]

Switch is a beast

If they play their cards right he may even be close to PS 4 Lifetime sales later or even better.

Need some new big Nintendo titles soon and some good third party again

 

[Business]

Nintendo churn out the same 3-4 low-risk IPs every year so this isn't surprising. Not hating, just stating the facts of their business model. I'm sure the margins on the Switch hardware are quite high as well.

But isn't that pretty much every studio's business model? Sony's first party studios have been juggling a couple of IP's each for the last ten years, Rockstar is doing GTA and RDR for the last decade, Ubi keeps pumping AC, Far Cry and the same old stuff since forever... Who exactly is creating new IP's left and right?

 

[DunDunDunpachi]

Knowing Nintendo, this means we'll see a lot more vanity projects while third parties prop up the system.

 

[Marcus Aurelius]

I remember a thread not long ago showing PS+ earned more money than nintendo and xbox combined...something like that lol

 

[Sander Cohen]

Nintendo is not a competitor to Sony, despite how weird that sounds. They don’t overlap anywhere in terms of demographics and game design. Switch’s main forte is portability just like with many previous Nintendo handhelds that solidified that image. That’s why Vita never took off, that space and mind share is firmly in Nintendo’s hands.

Nintendo is in its own category. They recycle same franchises for thirty years that have widespread recognition but don’t push this medium forward in terms of audiovisual and gameplay mechanics system. They’re closer to Lego than to Sony Interactive Entertainment or Xbox game division.

But if you’re Sony, it can be demoralizing (IDK how could it be not) to see someone with so little effort, minimal workforce and just lazy work outsell you so much when you poured heart and soul working 12 hours a day for years to create something like Uncharted 4, Spiderman, GoW or TLOU 2.

 

[Bodomism]

I remember a thread not long ago showing PS+ earned more money than nintendo and xbox combined...something like that lol

That was revenue which is pointless shit since the profit margins were to small to make any difference against Nintendo insane profits income.

Nintendo Switch is going to make more profits than PS1+PS2+PS3+PS4 combined at the of its life cycle.

 

[sublimit]

But are they more profitable than GamePas???

 

[Bodomism]

Nintendo is not a competitor to Sony, despite how weird that sounds. They don’t overlap anywhere in terms of demographics and game design. Switch’s main forte is portability just like with many previous Nintendo handhelds that solidified that image. That’s why Vita never took off, that space and mind share is firmly in Nintendo’s hands.

Nintendo is in its own category. They recycle same franchises for thirty years that have widespread recognition but don’t push this medium forward in terms of audiovisual and gameplay mechanics system. They’re closer to Lego than to Sony Interactive Entertainment or Xbox game division.

But if you’re Sony, it can be demoralizing (IDK how could it be not) to see someone with so little effort, minimal workforce and just lazy work outsell you so much when you poured heart and soul working 12 hours a day for years to create something like Uncharted 4, Spiderman, GoW or TLOU 2.

Zelda BOTW gameplay system alone is more complex than all of those Sony games combined.

 

[Ten_Fold]

To me the Switch has the best games out right now, BOTW, Mario odyssey, Smash and their good selection of jrpgs. The games probably don’t cost a ton to make, hell the graphics of most games are like PS3 level which I doubt cost a crazy amount to make so all Nintendo sees is $$$$$$

 

[The Pleasure]

But are they more profitable than GamePas???

People actually pay for Nintendo games. I think gamepass has snapple bottle codes and gold conversions.

 

[Faithless83]

Isn't it odd that a porting machine with lower hardware specs, sold at an inflated price is more lucrative?

Genius move Nintendo, after the "timed availability Mario ports", you have proven that your user base will eat shit from you and be happy about it.

 

[GhostOfTsu]

That's great but as much as people want it to happen there is no rivalry between the Switch and the PS5.

Nintendo is doing their own thing and they will never be surpassed. Most games don't even come out on Switch. There is no comparison possible like Xbox vs PS.

 

[MagnesG]

Zelda BOTW gameplay system alone is more complex than all of those Sony games combined.

Yes, they could absolutely try doing the interconnected systems in BOTW that is pretty much active throughout the game. They don't need to though just sprinkle in cinematic walking simulator atmosphere people would already go wow GOTY.

Isn't it odd that a porting machine with lower hardware specs, sold at an inflated price is more lucrative?

Genius move Nintendo, after the "timed availability Mario ports", you have proven that your user base will eat shit from you and be happy about it.

The Switch is priced at just the right amount with its specs in 2017 - $257 for overall factory production. No lucrative nonsense.
Also the notion where Nintendo fans are actually happy with the limited availability products is just bullshit, the games are just that good to pass up on.

 

[driqe]

please nintendo put your logo on me

 

[Marcus Aurelius]

That was revenue which is pointless shit since the profit margins were to small to make any difference against Nintendo insane profits income.

Nintendo Switch is going to make more profits than PS1+PS2+PS3+PS4 combined at the of its life cycle.

 

[Bragr]

Publishing internally developed games on their own system = all royalties goes straight to the bank.

They don't need third parties, that's always been their secret sauce and it's the reason why they are still around.

 

[Arkam]

Good for Nintendo! They needed a win badly after the WiiU (which I loved). And the profits are not surprising at all. They have moved a lot of HW and that HW has a nice profit margin since most of the tech was little to no R&D by Nintendo and not doing a price drop. Add on that most of their big selling games are WiiU ports that probably had minimal costs and you have the recipe for record profits.

And they are well deserved. I love my OG Switch. Was in fact my preferred platform "last gen".

It will be curious how the next few years go. They will have less and less WiiU ports available.... but now has a large base, so it might be a wash and continue to snowball.