The popularity of Nintendo’s Wii causes game developers to play “catch up”

According to a recent report by Bloomberg, a lot of game publishers had underestimated the impact Nintendo’s Wii would have on the market and are now playing “catch-up” because of it. Electronic Arts (EA), the biggest game manufacturer in the world, experienced a 25% drop in sales last February because of a shortage of Wii games according to Todd Greenwald, an analyst at Nollenberger Capital Partners. This is surprising since video game industry sales rose by 28% that month.

EA has done major steps in correcting the problem including purchasing Headgate Studios Inc. in November to improve their development of Wii games. The company has already released The Godfather: Black Hand Edition and Tiger Woods PGA Tour 07, which brings its Wii games released to six. However, it is expecting to double that number by the end of the year.

Other companies of note that have failed to take advantage of the Wii’s popularity include Take-Two Interactive. Jim Ankner, spokesperson for Take-Two, admitted that they did not have any titles released for the Wii when it came out. The company expects to release three games this year though, so that could be something to watch out for.

Ubisoft, the makers of Rayman and the Tom Clancy series of games supported the Wii and is reaping the rewards right now. It have reported increase sales for the December quarter by 24% to $405 million. This January, the company raised its 2007 revenue growth forecast (from 10% to 12%) up to 16%. The company has released seven games for the Wii already. Tony Key, vice president of marketing, spoke on the Nintendo Wii saying “It’s not really a bet anymore, it’s a viable system that’s going to make us money.”

For those who want all the details, you can read more on this via our read link.

According to a recent report by Bloomberg, a lot of game publishers had underestimated the impact Nintendo’s Wii would have on the market and are now playing “catch-up” because of it. Electronic Arts (EA), the biggest game manufacturer in the world, experienced a 25% drop in sales last February because of a shortage of Wii games according to Todd Greenwald, an analyst at Nollenberger Capital Partners. This is surprising since video game industry sales rose by 28% that month.

EA has done major steps in correcting the problem including purchasing Headgate Studios Inc. in November to improve their development of Wii games. The company has already released The Godfather: Black Hand Edition and Tiger Woods PGA Tour 07, which brings its Wii games released to six. However, it is expecting to double that number by the end of the year.

Other companies of note that have failed to take advantage of the Wii’s popularity include Take-Two Interactive. Jim Ankner, spokesperson for Take-Two, admitted that they did not have any titles released for the Wii when it came out. The company expects to release three games this year though, so that could be something to watch out for.

Ubisoft, the makers of Rayman and the Tom Clancy series of games supported the Wii and is reaping the rewards right now. It have reported increase sales for the December quarter by 24% to $405 million. This January, the company raised its 2007 revenue growth forecast (from 10% to 12%) up to 16%. The company has released seven games for the Wii already. Tony Key, vice president of marketing, spoke on the Nintendo Wii saying “It’s not really a bet anymore, it’s a viable system that’s going to make us money.”

For those who want all the details, you can read more on this via our read link.