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Atari Drops GameCube Support For Two Titles

dade writes "Atari has dumped on Nintendo, making it the third company to do so in recent weeks. However, because the GameCube is a vehicle for first-party games, Nintendo's bottom line isn't affected. This article at switchbox asks if such a situation can last." Some good points are raised. While Nintendo is ostensibly content to hide in its niche market, it would seem to make sense that it would want to corner more of the gaming market if possible, especially given their history.

23 of 86 comments (clear)

  1. Quote... by Acidic_Diarrhea · · Score: 3, Insightful
    From the switchbox blurb, "I know they're claiming that they're content to make a profit and hide out in their niche market, but eventually that will be eroded away if they can't make a strong showing with the next console."

    Why would Nintendo's market be eroded? If they continue to satisfy the people who buy in that "niche", why would their performance not continue as it has been? I don't know what the author means by a strong showing (similar sales to the GC or NES?) but I think that Nintendo's got a fairly good grasp of how they want their business to run. Sure, they'd probably like a larger share of the market but I believe that the executives at Nintendo aren't going to sacrifice their business model in an attempt to achieve that larger market share. Ultimately, I don't see how sticking to that business model will lead to Nintendo's market share being eroded.

    I suppose that one could argue that if Nintendo continues to go after the Mario crowd and Sony and MS both come out with consoles that have games with the Mario crowd in mind and the various other gamers in mind, then Sony and MS would be a more attractive option because their systems might satisfy more than one demographic. But really, that's a stretch. Nintendo is a lot like Apple - there's a devoted following and Nintendo doesn't want to alienate that following, a good move for maintaining market share, in my opinion.

    End rant?

    --
    I hate liberals. If you are a liberal, do not reply.
    1. Re:Quote... by Bulln-Bulln · · Score: 2, Insightful
      Nintendo is a lot like Apple

      To all people: please stop to compare Nintendo to Apple.
      Nintendo is no way like Apple.

      • Apple's hardware is overpriced.
        Nintendo has the cheapest of the 3 consoles.
      • Apple has just a small market share (hardware).
        If you compare the worldwide sales, XBox and GameCube sell about equally. The numbers vary depending who published them - according to GameSpy (I think it was GS, but I'm not sure) the GameCube is on #2, XBox is close on #3.
      • Apple has just a small market share (software).
        Nintendo is a top publisher for console software. Nintendo is #1 publisher in Japan. Nintendo is #2 publisher in the USA (far behind EA, but still #2). I don't know the numbers of the sales in Europe, but I think it's similar.
  2. Jokes aside, its what I've thought all along by Mike+Hawk · · Score: 2, Interesting

    The market is finally going to mature and splinter. Microsoft will be the "other" console in the US and Europe and Nintendo will be the "other" console in Japan. This will allow the companies to taylor their products to the different audiences, which continue to grow more and more different everyday. The niche fanboy crowd can always import of course.

    This is good news for third party publishers too. With only two consoles to worry about in either market, their development efforts can be more focused on making the best possible end product. So farewell, Big N. I'll always remember the good times we had. IMHO, though, this is a good thing.

    1. Re:Jokes aside, its what I've thought all along by Daetrin · · Score: 2, Interesting
      You seem to be missing out on the fact that Microsoft is determined to get more market share in Japan (by releasing a lot more games over there,) and Nintendo is determined to get more marketshare overall (by releasing their next conosle early.) Sony of course is determined not to let either of those happen. If Microsoft, by far and away the one closest to becoming a "niche" market given sales in Japan, is still working on rectifying that manner, why are you so sure that the trend will not only continue but accelerate?

      I'll agree that different people have different tastes, but thoses tastes are only partially delineated by geographic boundaries. The market maturing doesn't mean that some companies are going to give up on certain areas. What it does mean is that there are enough users that even niche games can be profitably ported to other teritories.

      If your claim was true, we would be seeing less and less games get ported from Japan to the US and vice versa. Instead what we're seeing is _more_ games getting ported. If only one percent of the console owners are interested in a certain game when the market is small, it's probably not worth it to translate. However as the market gets larger companies will be more likely to consider porting the game to get that one percent.

      All in all it sound like you just want an excuse to bash Nintendo, as usual.

      --
      This Space Intentionally Left Blank
  3. The Article Says it All by mhlandrydotnet · · Score: 4, Insightful
    While obviously the lack of third party support will make it harder for the GameCube to compete directly with the Xbox and PS2, the chances are that it won't affect the bottom line - namely Nintendo's handsome profit figure - in the slightest.

    Also, the following quote gives us some insight into the types of company's that drop Cube support: Atari says that it cancelled Terminator 3: Rise of the Machines on the platform because "there simply wasn't enough time to develop the game on all three platforms".

    These aren't companies that are interested in putting out quality games. These are companies interested in pushing out games that will sell as fast as possible. But we've had this discussion many times here, right?

  4. The Man by Aggrazel · · Score: 3, Insightful

    As long as Nintendo has Shigeru Myamoto (sp?) they are perfectly fine.

  5. This sucks by cloudwilliam · · Score: 3, Funny

    I was totally looking forward to Terminator 3: Rise of the Machines on my GameCube, especially considering how well movie franchises translate to good games, as well as Atari's sterling reputation as a top-notch game developer. Who can forget Basketball or Outlaw on the 2600? And although I've never played Driver 1 or 2, the title alone is enough to send me into aploptic fits of anticipation. I guess I'll have to play it on my PS2, as long as it makes it to that console.

  6. Japan vs. US markets by PainKilleR-CE · · Score: 3, Insightful

    I think this was one of the most insightful parts of the gameindustry.biz article:

    Many commentators take it to indicate that the console's market share is in serious trouble, but yet recent figures have proved that it is neck and neck - and indeed possibly leading - the Xbox in terms of global installed base.

    However, much of that installed base is in Japan, where companies such as Eidos, Acclaim and Atari simply don't sell very many games, while others such as Namco and Capcom, both strong supporters of the GameCube, are on their home ground.


    Insight aside, though, Namco's also shown with Soul Calibur 2 that the GameCube can do very well in the US as a platform, as the game is selling more titles on the Cube than on either of the other platforms (and 3 to 1 vs. the PS2 version).

    I hate to say it again, because it's never good to lose publishers, but as with Acclaim and Eidos before them, Atari's another publisher I'm not sorry to see leave the platform, especially given the titles that were cancelled.

    --
    -PainKilleR-[CE]
  7. They'll Have to Pry The Nintendo Controller... by LordYUK · · Score: 4, Insightful

    From my cold lifeless hands before I'd ever give up on Nintendo.

    Nintendo is the pinnacle of the console triangle, regardless of what "sales charts" may say. I can name more nintendo games that I wouldnt trade for anything than I can on PS2 or Xbox. They might not always be truly innovative (Mario Sunshine is more or less Mario 64) but in my humble opinion, FUN is the deciding factor.

    I have "wasted" more hours in front of Mario Kart (both of them) than I care to admit, and you bet your sweet mushroom butt that I will have DD when it comes out... I cant name ONE game on either the PS2 or the Xbox that is so good I'd HAVE to have the system just for it (note, there ARE good games, but MOST of them ARENT exclusive... halo, KoToR, GTA, etc)...

    You'll never see Mario on another system.

    To hell with the 3rd party developers. 90% of the time, their games sucked anyway. (there were exceptions, Capcom, Konami, Rare...)

    --
    This is my sig. Its pathetic.
    1. Re:They'll Have to Pry The Nintendo Controller... by BTWR · · Score: 2, Interesting

      Nintendo... seems to be slipping; much like Sega years ago

      Nintendo is JUST LIKE SEGA??? Consider Nintendo's consoles:

      NES (Profitable)
      SNES (Profitable)
      N64 (Profitable)
      Gameboy (Profitable)
      Gameboy Pocket (Profitable)
      Gameboy Color (Profitable)
      Gameboy Advance (Profitable)
      Gamecube (Profitable)

      Virtual Boy (Unprofitable)

      Sega:
      Genesis (Profitable)
      Master system (?)
      Game Gear (unprofitable)
      Nomad (unprofitable)
      32X (unprofitable)
      Sega CD(unprofitable)
      Saturn (unprofitable)
      Dreamcast (unprofitable)

      So... they're exactly the same... how?

  8. Re:Atari? by Anonymous Coward · · Score: 3, Informative

    Atari 2003 is Atari in name only. In the mid-90s when Atari went bankrupt all of it's assets were sold off, including the right to the corporate name. Atari today and Atari in 1978 have nothing in common but their name.

  9. Paraphrased by snubber1 · · Score: 4, Funny

    "Our shitty titles don't sell well enough to a more discriminating user base."

    --
    I don't really mind double posts on //..
    1. Re:Paraphrased by ForemastJack · · Score: 3, Interesting

      I read this and I think, "God, grant me mod points."

      But since that ain't happening today, I'll just respond. I have a GameCube. I had a PS2. (Now heading off to eBay.) Here's the difference between the systems, and why this doesn't matter:

      Buy a PS2 game, you've got what, a 50-50 chance of buying dreck -- assuming you haven't done your homework and checked reviews, etc. Buy a GameCube game, take it home, pop it in, and it's good.

      If a game is big enough, it'll get to the GameCube...GTA being a principle exception. Do I care? Hell no. My time, these days, is so precious that I don't have the time to wade through crap to find a good game. Who am I? Nintendo's core marketing demographic in America.

      See? A lengthy response to a pithy, concise summary. Slow day at work.

  10. Re:The thing is... by wcbarksdale · · Score: 3, Insightful
    I don't think this is true. I bought my Gamecube to play Super Smash Brothers Melee, Super Mario Sunshine, and Animal Crossing. Since then I've bought Pikmin and Wave Race. Most of Nintendo's Gamecube games are either in some way unique or just done very well.

    Basically Nintendo is becoming like the Mac OS X of gaming platforms. Smaller market share, not much support from other companies, but very well put together.

  11. New business plan? by Fammy2000 · · Score: 4, Funny

    1. Drop GameCube support
    2. ???
    3. Post quarterly loss!!

    --
    If I had something intelligent to say, I would have said it.
  12. Sounds familiar. by 2Flower · · Score: 2, Insightful

    I recall another game console where it had great strength in its first party titles, even if the third party was a bit wobbly; a number of key characters and franchises with rabid fanbases which were proven sellers in the past; and a console which was cheap compared to the competition and sold to its niche.

    I think it was called 'Dreamcast'. At least check they were being sold out of stock at fifty bucks a pop to folks who wanted to use them as cheap Linux routers.

    You can't survive as a niche machine, no matter how many game design gods you have on your payroll. Maybe the niche is big enough to keep Nintendo afloat right now but if they aren't going to TRY to fight tooth and nail against Sony, they will eventually fade away. Nintendo is never going to say "Eh, we don't need third party, Mario and Link and Metroid will keep us in the green" because it's just not true.

    1. Re:Sounds familiar. by scot4875 · · Score: 3, Interesting

      Gee, thanks for your insight, Mr. Video Game Market Analyst Expert.

      I hear this tired straw man argument so often that I wonder if people actually believe it's true. Can you offer one piece of evidence other than the anecdotal "Dreamcast had many 1st party games, Gamecube has many 1st party games, therefore they're the same thing!" Can you give *any* supported arguments that back up your implication that the Gamecube is going the way of the Dreamcast?

      Here -- I'll offer some other bullet points to consider: Sega of America was horribly mismanaged during the Dreamcast's demise. The Dreamcast had to compete with the Sony marketing juggernaut/hype machine far more than the Gamecube did/does. Sega has far fewer huge franchises than Nintendo does. I'd even go so far as to say that a larger part of Sega's fanbase was the more casual "I play X because it's cooler" segment of the market, whose loyalty stayed with Sega as long as they stayed in fashion.

      Maybe there was more to the Dreamcast's failure than just lack of 3rd party support.

      --Jeremy

      --
      Jesus was a liberal
    2. Re:Sounds familiar. by unclethursday · · Score: 3, Interesting
      I recall another game console where it had great strength in its first party titles, even if the third party was a bit wobbly; a number of key characters and franchises with rabid fanbases which were proven sellers in the past; and a console which was cheap compared to the competition and sold to its niche.

      I think it was called 'Dreamcast'. At least check they were being sold out of stock at fifty bucks a pop to folks who wanted to use them as cheap Linux routers.

      Except that Sega was (and still is) in finacial trouble when they released the Dreamcast. Nintendo is not.

      Sega was reeling from past faliures like the Sega CD and 32X add ons for the Genesis/Mega Drive, and from the poor showing of the Sega Saturn when they released the Dreamcast.

      Nintendo, even though they lost a lot of marketshare to Sony during the PSOne/N64 times, was still very profitable with the N64.

      Sega was losing money (and is only just now starting to make money again). Nintendo was, and still is not losing money, but is making money.

      I love my Dreamcast, and wouldn't get rid of it for anything, but the fact remains that Nintendo and Sega were, and are in two different worlds when it comes to hardware buisness.

      The Dreamcast was a wonderful system that was killed by Sony's PS2 hype (even though in many ways the DC was superior to the PS2), and Sega's own blunders in the past. The only thing hurting the GameCube, really, is the supposed stigma that they are the 'kiddy console', mostly said by hormonal teenage boys (read: kids themselves).

      So, no, it doesn't sound fammiliar at all, really.

      Thursdae

  13. Ninendo makes games too well? by Anonymous Coward · · Score: 2, Insightful

    any anyone contemplated the possibility that Nintendo does too good of a job with their first party games and that's why they are losing 3rd party support?

    Given that I have a limited budget to buy 2 games, for instance, and the 2 best games out on the Cube both happen to be published by Nintendo, then I'd buy 2 Nintendo games. Versus on the PS2 or XBOX, the 2 best games out on the market for those consoles are probably not published by Sony or Microsoft. So then i'd end up buying EA, SEGA...etc games.

    Does anyone else think that the quality of nintendo's first party games actually harms their 3rd party support?

  14. Congrats to Nintendo by borg1238 · · Score: 2, Funny

    This new quality control system of yours is working great! Now if you could just alienate a few more companies, like THQ and TDK, I think you'd have a strongest library out there.

  15. niche? by Funk_dat69 · · Score: 2, Interesting

    I think its funny that Nintendo has a reputation for appealing to a niche market, when actually they try to market their games and hardware toward a more general audience (kids and adults included).

    Sony (with MS trying to steal their cake), it seems, markets towards a more specific group of people, that being the male teenager. It's just that this specific group BUYS GAMES LIKE MAD, and makes up the biggest percentage of gamers.

    Funny how that works...

    --
    FUNK!
  16. Other thoughts (Nintendo != Apple) by AvantLegion · · Score: 3, Insightful
    I don't totally disagree with you, but Nintendo's historical stubbornness/arrogance has cost them market share many times along the line.

    Example: Nintendo refuses to recognize the need for an advanced storage format (CD-ROM: 650MB) and opts instead to release a "next-gen" system with a storage format that held 20x less and cost more. Texture artists the world over screamed bloody murder. SquareSoft, creator of many of the Super NES's classic hits, thumbed their nose and walked away.

    Current example: Nintendo refuses to recognize the demand for online gaming. Repeatedly, they have made statements about how they don't see a sustainable business model in it. Meanwhile, Xbox Live and the PS2 Network Adapter each have shattered all sales expectations, and each system has surged mightily on the strength of online titles like SOCOM, MechAssault, and a dozen sports games. Each will also explode with the pending releases of SOCOM 2, Halo 2, Counterstrike, and other AAA online titles. Meanwhile, Nintendo sits on a gold mine - a game that, if taken online, would shake things up incredibly and even possibly could single-handedly spark a GameCube resurgence. Yet, Mario Kart will release with no online support. Likewise, other possible beneficiaries like F-Zero go without online play too.

    Apple is an innovator. If Nintendo were Apple, they would have been at the forefront of online console gaming. Instead, they continue to drag their heels, even after both of their competitors have been wildly successful, and will only continue to be more successful in that realm. Apple, while not perfect, are forward-looking and try to bring the future to the present consumer. If Nintendo is Apple, they are the worst of Apple. They're not the Powerbook, they're not the iPod. They're the one-button mouse.

    Nintendo CAN survive on a small market, but they have to serve that market in good faith. As a GameCube owner, I am part of that market - though I am also part of the PS2 and Xbox markets as well. I grow tired of Nintendo's stubbornness, and the failures it creates. My credit card does my complaining - I own far more Xbox and PS2 titles than GameCube. Next time, I may forego a Nintendo console entirely. Nintendo simply does not serve their customers the way Apple does.

    1. Re:Other thoughts (Nintendo != Apple) by Neuticle · · Score: 2, Interesting

      Is Xbox live profitable? Given that the xbox in general is hemorrhaging money like a fire hydrant, I'd say not.
      Is Sony making money off of PS2 online gaming? I don't know, but I don't think they are.
      Many of the MMORPGs are consistantly profitable (Sony, but on PC), but Nintendo isn't opposed to facilitating that, as evidenced by PSO I/II.
      When there is money to be made for Nintendo, Nintendo will offer an online service. Right now, they'll let others throw money at online console gaming. The next generation of consoles will be out before online=sound investment, and by then Nintendo says they will be ready. I think they realize the importance of online play, but they see that the market just isn't ready.

      In general, I think many Nintendo fans are the type of people who like to sit down with friends and play together, not play by themselves against some dweeb named HaX0rURbraIN who's half way around the world. There is something in 4-way social gaming that is unreproducible online, like high fiving a partner, or gloating after a win. That something = more fun and Nintendo is catering to that demographic just fine: Gamecube has the best party games by FAR. Monkeyball, Smash and Mario Party are enough to keep a crowd entertained near indefinately. Time splitters 2, while not exclusive, has huge replay value. Throw in the obligitory Madden and FIFA, and with Kart ariving, the Cube is the perfect party machine.

      Personally, I like the Mario Kart take on online play: make it network playable, and then if people want to play on the internet, just fake the local network. No investment from N, but online none the less. I wish Nintendo had done this from the start with a lot of games, and hope they make it standard.

      Nintendo isn't the one button mouse, [loose analogy] they're the trusty CD-ROM while others spend tons of money on unprofitable DVD drives. Once profitable uses of DVD drives appear, they'll start using them. People who sunk $1000 into a drive that didn't do much untill 2 years later (when it cost $40 and was actually usefull) wasted their money.

      Don't give MS too much credit for throwing money into a hole untill it fills up. Get some friends, get a 'cube and get ready to have a shit-ton more fun than playing GTA-3 by yourself for 5 hours like a hermitt, and more variety than Halo, and uhh... Halo2 for group gaming.

      Friends are like cheese, they make everything better...

      --
      "Cheeze it!" - Bender