I just can't see the Wii tanking because of this hack. It's not even in direct competition in its own market (whereas both of the competitor fight for the "hardcore player" segment). Then only occasionally buy additional games). (They usually buy on the spot the Wii and couple of fun multiplayer games Ã-la WiiSport.
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It's primary market is more geared toward casual and family players who aren't going to go through the hacking hassle to get the pirated software work anyway. It has a lot of success in most market, out-sellling its main competitors. What really caused the DC's downfall is a mix of not loud enough marketing (SEGA has often showed understated stats of its console, whereas most competitors used to inflate the specs), a silly price war later in the life cycle against its competitors, lots of 3rd party developers putting their project in the hold in expectation of the next playstation, and past financial disasters (the Saturn definitely tanked in the US, and only had limited success in Japan and even more limited in Europe). It seems to me that DC piracy hasn't as much lowered games sales, as it has mainly allowed users to play that they wouldn't have bought in the first place. Usually the same quantity as they also had cartridges for older less pirated game consoles. In the case of Dreamcast, how much of friend do you know how only bought the console (first hand from a shop) and never ran anything but burned CD-R on it ?Įveryone I know who had a Dreamcast had at least bought couple of games.
First, few hardware maker actually sell consoles at a loss (even if they have smaller margins on the hardware compared to the software). You know, when the business model breaks down due to a large number of console sales (usually a loss) and a low number of game purchases due to them being free on P2P or usenet. They have a very friendly online purchasing experience for many old games, which makes it less appealing to use the system as an SNES emulator (a very popular "homebrew" application in my experience). They have caused a resurgence in interest in alternate peripherals (credit also to Guitar Hero), which means that just stealing the game itself doesn't get you all of the fun.
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They can update the firmware to remove this channel and the exploit any time you put in a first-party disk, and with the Nintendo model they can be reasonably certain that any console which is turned on in 2008 will play one of the next three Big Series releases from Nintendo. They've sold a bazillion units - and every one at a profit, thank you very much.
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That being said, it isn't going to happen to Nintendo: they are largely pitching the console at folks who both don't pirate games and wouldn't know how to if they did (targetting customers who enjoy paying money for your product - a novel concept!). and there are about 10,000 pirates for every one of you, who want to play first-party Nintendo games for free) take down an IP producer I liked.
I would hate as much as the next guy to see pirates (yeah, yeah, I know there are folks out there who just want to code 2D Tetris to work on your Wii.
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