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New Nintendo Game Console Demand Doubles, Spokesman Says
Nov. 12 (Bloomberg) -- Nintendo Co., the world's biggest maker of hand held
game consoles, has received 2 million advance orders in Japan for its
Nintendo DS portable video game system, company spokesman Ken Toyoda said.
The figure is double Kyoto-based Nintendo's target of 1 million domestic
orders for the year, Toyoda said today.
``We will outsource production to a third site in China to meet the rising
demand,'' Toyoda said.
Nikkei English News reported earlier today that Nintendo Co. had received 2
million advance domestic orders for its DS console, citing unidentified
people.
The DS goes on sale in the U.S. on Nov. 22 for $149.99 and in Japan on Dec.
2 for about 15,000 yen.
And in other Nintendo related news...
Nintendo Shares Rise After Company Says DS Demand Beats Target
Nov. 12 (Bloomberg) -- Shares of Nintendo Co., the world's biggest maker of
hand-held game consoles, surged as much as 4.5 percent after the game maker
said advance demand for its newest player is outstripping the company's
expectations.
Nintendo, based in Kyoto, Japan, has received 2 million orders at home for
its DS game machine, double the company's target of 1 million domestic
orders, spokesman Ken Toyoda said today in response to a Nikkei English News
report.
Sales of hand-held hardware and software accounted for 62 percent of
Nintendo's revenue in the business year ended March 31. The company is
counting on the DS's two screens and voice recognition to counter a
challenge from Sony Corp., which will release its own hand-held player on
Dec. 12 in Japan with the ability to play music and movies in addition to
video games.
Nintendo's shares were up 490 yen, or 4.1 percent, at 12,590 as of 11.17
a.m. in Osaka, which would be their biggest one-day gain since Sept. 30 when
they rose 4.3 percent. The shares rose as much as 540 yen to 12,630 earlier
in the day.
The DS goes on sale in the U.S. on Nov. 22 for $149.99 and in Japan Dec. 2
for about 15,000 yen ($140). Sony's PSP, also known as the PlayStation
Portable, will reach stores in the U.S. before March 31, Sony has said.
Sony plans to ship 500,000 PSPs in Japan by the end of the year and 3
million worldwide by March 31, the company said Oct. 27 when they announced
the PSP's price and the debut date.
Marketing Push
To meet demand for the DS, Nintendo will extend production to a third site
in China, Toyoda said.
The maker of the Game Boy and Game Boy Advance players holds 95 percent of
the market worldwide for hand-held video-game consoles. Nintendo also makes
the GameCube home console, which competes with Microsoft Corp.'s Xbox and
Sony's PlayStation 2.
Nintendo's marketing efforts for the DS include television commercials
featuring best-selling female pop singer Utada Hikaru, as well as a
five-city tour this month to show off the device and some of its functions
such as the touch-sensitive screen.
In the U.S., Nintendo's biggest market, the company has started television
teasers aimed at teenagers and gamers in their twenties with the caption
``Touching is Good.''
``Gamers in that demographic are generally the most tech savvy and the most
willing to try out new products,'' said Beth Llewelyn, a spokeswoman at
Redmond, Washington-based Nintendo of America Inc.
The marketing blitz is designed by Nintendo to hold on to customers ahead of
the debut of Sony's PSP PlayStation Portable, which will sell for 19,800 yen
in Japan.
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