View Full Version : Pokemon Go Just Broke This Major App Store Record, as Nintendo Releases Statement

07-22-2016, 03:44 PM

Maybe there will be an NX portal version of this at launch.

Pokemon Go Just Broke This Major App Store Record, as Nintendo Releases Statement

The free game is now in the history books, while Nintendo says it's not changing its business outlook in wake of the title's massive success.

Pokemon Go has been sitting on the top of the iTunes Free and Top Grossing charts since release earlier this month. Now, Apple has confirmed that the free game was downloaded more times in its first week than any other app in history.

A spokesperson for Apple confirmed this on Friday with GameSpot sister site CNET, though the company declined to provide a specific download figure. Additionally, the spokesperson wouldn't say what app held the record before.

Apple might benefit big-time from Pokemon Go, as financial firm Needham reported this week that the game could add $3 billion to Apple's sales over the next 1-2 years. The firm estimated that two-third of all Pokemon Go downloads are for iOS devices and that a whopping 80 percent of in-app purchases are happening on iPhones and iPads. Apple, of course, gets the standard 30 percent cut.

Developer Niantic Labs has yet to say anything about Pokemon Go's download numbers or revenue, but other firms are speaking up. Sensor Tower, an analytics company for apps, claimed this week that the game had reached 30 million downloads for iOS and Android. The same report said the game has brought in $35 million from its microtransactions and is used more on a daily basis than the Facebook app.

In related news, Nintendo today released a statement [PDF] in which it explains its relationship with Niantic Labs and The Pokemon Company. Overall, the goal of the statement appears to be to temper investors' expectations about how much money Nintendo is actually making from Pokemon Go. Despite having no direct hand in making Pokemon Go, Nintendo is benefiting big-time; its share price skyrocketed after the game's release and the company's market cap pushed past Sony's.

In the statement, Nintendo explains that although it owns 32 percent of The Pokemon Company, due to the way that the accounting is set up, "the income reflected on [Nintendo's] consolidated business results is limited." This, along with the fact that Nintendo will produce and distribute the Pokemon Go Plus accessory, was already baked into the company's financial forecast.

Although Pokemon Go may be taking the world by storm and reportedly bringing in millions, Nintendo is "not modifying the consolidated financial forecast for now. " However, Nintendo said it would "make a timely disclosure" if it were to adjust its financial forecast.

Nintendo will report earnings next on July 27 and you can be sure Pokemon Go will come up.


Joe Redifer
07-23-2016, 12:02 AM
An important thing to remember is just because Nintendo's stock went up a certain amount doesn't mean they suddenly have that same amount added to their bank accounts. They are just worth more. If Sega were to buy Nintendo, then they'd have to pay the Pokemon Go inflated amount. But Nintendo doesn't suddenly have billions more in the bank.

07-23-2016, 05:20 AM

07-23-2016, 07:02 PM
I play a different game, I shoot pokemon go players. Gotta shoot them all!

Sinful Sam
07-23-2016, 10:29 PM
Nintendo should definitely see the potential too invest more into mobile gaming.

07-24-2016, 03:25 AM
Nintendo should definitely see the potential too invest more into mobile gaming.

dear god no. we need less mobile gaming.

07-26-2016, 06:11 PM
Nintendo loses billions in value after 'Pokemon Go' truth bomb
Nintendo made it clear on Friday that it didn't actually develop everyone's favorite augmented reality game.

Pokemon Go is an unprecedented success, but Nintendo recently admitted it won't directly profit from the augmented reality game, leading to a loss of $6.7 billion in Nintendo's market value on Monday. Nintendo's market value rose by $7.5 billion on July 11th, just after Pokemon Go went public and became an instant, massive hit across the globe. Since its launch, Pokemon Go has added nearly $12 billion to Nintendo's market value, meaning today's dip, while sizable, isn't a total disaster for the company.

Nintendo published a letter to investors on July 22nd offering a reality check on the company's involvement in Pokemon Go: Namely, it didn't develop or publish the game. Instead, Nintendo has a 32 percent stake in The Pokemon Company, the business that markets and licenses the Pokemon franchise to outside developers. The Pokemon Company will receive licensing fees and compensation for collaborating with developer Niantic on Pokemon Go, and Nintendo will see just a sliver of that revenue.

"Because of this accounting scheme, the income reflected on [Nintendo]'s consolidated business results is limited," the company wrote. Nintendo said it would not modify its financial forecast.

On Monday, the first trading day after its letter went public, Nintendo's stock fell as much as 18 percent. It's the steepest hit to the company's shares since 1990, Bloomberg reports.

Many people associate Pokemon with Nintendo, and for good reason: The company has published the games since their inception in the 1990s and it owns a third of The Pokemon Company itself. However, Nintendo simply didn't have a hand in developing or publishing Pokemon Go, as we noted in our previous reports on the company's stock boosts. Nintendo and Google did invest roughly $30 million in Niantic as it worked on Pokemon Go.

Nintendo will produce and distribute the Pokemon Go Plus accessory, a plastic wearable that connects to a smartphone via Bluetooth, and then lights up and vibrates when players encounter PokeStops or Pokemon in the wild. Pokemon Go Plus will cost $35 and Nintendo had already rolled any potential revenue from the peripheral into its financial forecast ending March 31st, 2017.

Will be interesting to see where they go from here.

07-27-2016, 12:25 PM
So where did the money go? To Niantic and Pokemon Company? How much does Nintendo actually make out of this?

07-27-2016, 02:18 PM
I guess they won't be making much of anything till they release that Pokemon Go accessory. Even then they delayed that thing to September.

Joe Redifer
07-28-2016, 01:01 AM
This video kinda explains who owns Pokemon. It's pretty complicated.


07-29-2016, 03:10 AM
couldn't agree more with his final assertion

Sinful Sam
07-30-2016, 10:10 PM
dear god no. we need less mobile gaming.

I agree. I just ment they should look into other options to stay revalent and continue to make profit. I would rather they stay how they are. I guess will see how they do with the Wii U.