Xbox Game Pass on Nintendo Switch? New rumors about a possible deal

“That would be unwise”: Nintendo is not going to “blindly buy up game companies”

The company Nintendo is not going to lower its net savings of 1 trillion yen for the purchase of third-party game publishers and studios. This was announced by President Shuntaro Furukawa in an interview with Nikkei, commenting on the recent announcement of the acquisition of the Canadian Next Level Games.

Furukawa recalled that Nintendo rarely makes purchases. This happens in exceptional cases. An example from Next Level Games is the first since 2007, when the Monolith Soft team, known today from the Xenoblade Chronicles role-playing series, joined the platform holder.

“This [Next Level Games] is our long-term partner with whom we have worked for many years to create games. And we decided we could improve the quality and speed of development by making it our subsidiary,” Furukawa explained.

Nintendo will continue to make third-party investments, but only when necessary, the president stressed.

“We don’t blindly buy companies for game development resources. We don’t think a simple extension will add value to the entertainment that Nintendo provides.”

Based on the January message from Nintendo, the decision to purchase Next Level Games was made due to the fact that some of the shareholders of this studio wanted to sell their securities. Since Nintendo and the developers have long worked together, the Japanese company agreed to take over. Next Level Games’ latest title to date, Luigi’s Mansion 3, has sold over 10 million copies on Nintendo Switch.

At the same time, many of the company’s series, including Fire Emblem and Kirby, continue to be responsible for studios that are independent, although they have worked closely with it for decades. Some of Nintendo’s biggest hits, including Super Smash Bros., are also produced outside it, but under the supervision of internal producers.

Instead of buying studios, Nintendo prefers to start partnerships.

On the subject of hardware, Furukawa noted that Nintendo will continue to come up with “new forms of entertainment. “

“No matter how hot a product you have on hand, there always comes a point in the entertainment business when people just get tired of it.”

As of December 31, 2020, Nintendo Switch sales are close to 80 million. The console is “approximately in the middle of its life cycle”

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