14 DAY TRIAL // Video game hardware developer and video game publisher Nintendo revealed its next home console, called the Wii U, at its E3 2011 press conference and almost immediately after the price of its shares dropped in trading, reaching the lowest point in five years before the end of the week.
The stock price reaction is almost the complete opposite of what Nintendo expected from the announcement of a new home console that could replicate the success of the Wii and the leaders of the company have shared their surprise with the public.
Speaking after the announcement of the Wii U home console Satoru Iwata, who is the chief executive officer and also the president of Nintendo, has said, “Honestly speaking, the reaction to presentation and what I heard from people I met and the mood of the convention did not chime at all with what happened in the stock market. It's very strange.”
He added, “In the end, it is easy to get the mistaken impression that this is just a game console with a tablet. People who came to the presentation and tried it out have understood very well that it opens up a lot of new possibilities. But people who have not tried it will find it hard to believe that this controller will change things.”
The CEO says that the reaction is in some ways similar to how the market reacted to the Wii when it was first shown off in 2006 and he probably hopes that the sales of the Wii U will again prove the market wrong and will deliver another success for Nintendo.
The Wii U does not yet have a clear launch date, but Nintendo plans to get it to players during 2012, with the highlight being the new controller that features a touch screen alongside analog controls.
The Wii U will also deliver high-definition graphics similar to those of the Xbox 360 and the PlayStation 3.