End of Nintendo’s Bull Run: Shares Plummet Sharply!

General news News 07/26/2016

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Reality check: Nintendo ended Monday with an eighteen percent plummet on the market on Monday.

This sudden drop is because Nintendo admitted that they did not develop Pokémon Go themselves. Instead, most of the work was handled by Niantic with some help from Nintendo, and The Pokémon Company. Also, there other investors in the developer, such as Nintendo. Because of this statement, as well as investors seeing a smaller share of profit in the future via Pokémon Go, they decided to jump off the Pokétrain before they lose money.

Still, Nintendo might see some profit with Pokémon Go Plus (image below). This device allows people to live their life normally: the game can run in the background without the constant need of looking at the phone because this device would blink if something is happening in the game. At one point following the game’s release, company shares surged by more than 120%, adding $23 billion to Nintendo’s market value. However, they are now only (?) up by 60%.

This sharp plummet means that Nintendo will likely switch to microtransactions: offer the game for free, and provide add-on features for a sum of money. If the balloon pops, the next step will likely be the appearance of microtransactions for Pokémon Go…

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Angyal Anikó

Anikó, our news editor and communication manager, is more interested in the business side of the gaming industry. She worked at banks, and she has a vast knowledge of business life. Still, she likes puzzle and story-oriented games, like Sherlock Holmes: Crimes & Punishments, which is her favourite title. She also played The Sims 3, but after accidentally killing a whole sim family, swore not to play it again. (For our office address, email and phone number check out our IMPRESSUM)