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Would you like to inspect the original subtitles? These are the user uploaded subtitles that are being translated: 1 00:00:03,212 --> 00:00:06,48 [upbeat music] 2 00:00:06,131 --> 00:00:12,971 id 3 00:00:13,55 --> 00:00:16,225 - Rising tides lift all boats. 4 00:00:16,308 --> 00:00:19,561 Nintendo had captured the elusive casual gamer. 5 00:00:19,645 --> 00:00:21,563 And thanks to years of competition 6 00:00:21,647 --> 00:00:25,400 between three tech giants, the audience was growing 7 00:00:25,484 --> 00:00:27,861 and everyone was winning. [cheers and applause] 8 00:00:27,945 --> 00:00:30,72 id 9 00:00:30,155 --> 00:00:32,658 The era of the console wars had dissipated, 10 00:00:32,741 --> 00:00:36,828 and what was left was an industry that had doubled in size. 11 00:00:36,912 --> 00:00:43,418 id 12 00:00:50,342 --> 00:00:53,220 [gentle music] 13 00:00:53,303 --> 00:01:00,227 id 14 00:01:07,192 --> 00:01:09,319 - It may be the most addictive toy in history, 15 00:01:09,403 --> 00:01:12,281 and it's definitely the hottest thing this Christmas: 16 00:01:12,364 --> 00:01:13,699 Nintendo video games. 17 00:01:13,782 --> 00:01:20,664 id 18 00:01:51,320 --> 00:01:53,614 [somber music] 19 00:01:53,697 --> 00:01:59,119 - The man who turned Nintendo into a video game giant has died. 20 00:01:59,202 --> 00:02:02,247 Hiroshi Yamauchi ran the company for 53 years 21 00:02:02,331 --> 00:02:04,583 and was once Japan's richest man. 22 00:02:04,666 --> 00:02:07,669 id 23 00:02:07,753 --> 00:02:11,06 - He made Nintendo a global powerhouse brand. 24 00:02:11,89 --> 00:02:13,925 It started out as a playing card manufacturer 25 00:02:14,09 --> 00:02:16,762 before the electronic era brought us "Super Mario" 26 00:02:16,845 --> 00:02:18,764 and "Donkey Kong" and Game Boy and Wii. 27 00:02:18,847 --> 00:02:22,225 id 28 00:02:22,309 --> 00:02:25,479 - Hiroshi Yamauchi, he didn't play many of his games. 29 00:02:25,562 --> 00:02:28,357 He simply watched someone else playing them on a VHS tape 30 00:02:28,440 --> 00:02:30,67 and he had this iron gut 31 00:02:30,150 --> 00:02:32,361 where he could determine if a game was good or not 32 00:02:32,444 --> 00:02:36,406 just based on watching someone else play it for a couple of minutes. 33 00:02:36,490 --> 00:02:42,162 So he had this real sixth sense about what made a game good. 34 00:02:42,245 --> 00:02:44,373 - It speaks to the philosophy of a company 35 00:02:44,456 --> 00:02:47,459 that has weathered world wars, cold wars, 36 00:02:47,542 --> 00:02:51,338 legal wars, patent wars, and console wars. 37 00:02:51,421 --> 00:02:55,842 Make a good product, make a profit. 38 00:02:55,926 --> 00:02:58,53 But that philosophy would soon be challenged 39 00:02:58,136 --> 00:03:01,181 by one company with one product. 40 00:03:01,264 --> 00:03:04,142 - A wide-screen iPod with touch controls, 41 00:03:04,226 --> 00:03:06,395 a revolutionary mobile phone, 42 00:03:06,478 --> 00:03:11,24 and a breakthrough internet communications device. 43 00:03:11,108 --> 00:03:14,194 - No company had the virtually-guaranteed success 44 00:03:14,277 --> 00:03:17,906 of any handheld they produced, except Nintendo... 45 00:03:17,989 --> 00:03:19,408 until now. 46 00:03:21,243 --> 00:03:24,538 [cheers and applause] - And we are calling it iPhone. 47 00:03:24,621 --> 00:03:28,41 [dramatic music] 48 00:03:28,125 --> 00:03:30,335 [cheers and applause] 49 00:03:30,419 --> 00:03:37,467 id 50 00:03:37,551 --> 00:03:39,94 - A little treat on a Friday night. 51 00:03:39,177 --> 00:03:40,679 Why not, right? 52 00:03:40,762 --> 00:03:42,55 - | mean, it's Apple. - The App Store. 53 00:03:42,139 --> 00:03:43,98 - You want to check snow conditions? 54 00:03:43,181 --> 00:03:44,433 There's an app for that. There's an app for that. 55 00:03:44,516 --> 00:03:45,976 There's even an app for that. 56 00:03:46,59 --> 00:03:48,520 - Put it on every single iPhone. 57 00:03:48,603 --> 00:03:52,482 id 58 00:03:52,566 --> 00:03:54,67 - These new touchscreen, 59 00:03:54,151 --> 00:03:57,154 browser-ready, app-ready, magic machines 60 00:03:57,237 --> 00:04:01,366 made any other handheld device seem outdated by comparison. 61 00:04:01,450 --> 00:04:07,956 id 62 00:04:10,792 --> 00:04:13,879 - Hot space for indie game developers is mobile. 63 00:04:13,962 --> 00:04:15,255 - A lot of money in the industry 64 00:04:15,338 --> 00:04:17,174 went into mobile and into free-to-play. 65 00:04:17,257 --> 00:04:18,717 You know, companies like Zynga. 66 00:04:19,926 --> 00:04:23,513 - You know, now our cell phones have better graphics 67 00:04:23,597 --> 00:04:25,557 and better memory, more complicated games. 68 00:04:25,640 --> 00:04:28,977 - | mean, | always have a portable game that I'm playing. 69 00:04:29,60 --> 00:04:32,272 - Nintendo is now competing with 99¢ smartphone apps. 70 00:04:32,355 --> 00:04:34,566 - If anyone's playing an iPad game nowadays, 71 00:04:34,649 --> 00:04:36,109 and they're playing with a phone, 72 00:04:36,193 --> 00:04:38,153 that is basically a DS game. 73 00:04:38,987 --> 00:04:41,615 If you have an iPhone, if you have an iPad, 74 00:04:41,698 --> 00:04:44,159 you are carrying around a Nintendo DS 75 00:04:44,242 --> 00:04:46,912 that happens to be very large and not made by Nintendo. 76 00:04:46,995 --> 00:04:52,667 id 77 00:04:52,751 --> 00:04:55,128 - By 2010, smartphones 78 00:04:55,212 --> 00:04:58,840 and new tech like virtual reality and augmented reality 79 00:04:58,924 --> 00:05:02,93 were driving game development and hardware, 80 00:05:02,177 --> 00:05:04,346 London hosted the Summer Olympics, 81 00:05:06,973 --> 00:05:09,59 and Disney bought Lucasfilm. 82 00:05:09,142 --> 00:05:10,101 - You've got to live with it 83 00:05:10,185 --> 00:05:12,229 and people are gonna talk about it and all that kind of stuff. 84 00:05:12,312 --> 00:05:16,66 - PSY's one-hit wonder "Gangnam Style" took over all media. 85 00:05:16,149 --> 00:05:17,984 - J Oppa Gangnam style f 86 00:05:18,68 --> 00:05:22,989 - And in Hollywood, "The Hunger Games" and "The Avengers" started franchises. 87 00:05:23,73 --> 00:05:24,741 - | understood that reference. 88 00:05:24,825 --> 00:05:27,369 - While "The Dark Knight Rises" closed one. 89 00:05:28,411 --> 00:05:29,621 - He needs the Batman. 90 00:05:30,747 --> 00:05:33,625 [suspenseful music] 91 00:05:33,708 --> 00:05:36,419 id 92 00:05:36,503 --> 00:05:38,505 - With all that in play, 93 00:05:38,588 --> 00:05:44,344 Nintendo faced what would be their most difficult year since 1889. 94 00:05:44,427 --> 00:05:46,388 id 95 00:05:46,471 --> 00:05:49,933 - Nintendo briefly tried to make phones, mobile phones, 96 00:05:50,16 --> 00:05:51,643 | think, back in the early '90s. 97 00:05:51,726 --> 00:05:55,480 They thought of themselves as an electronics maker like Sony, 98 00:05:55,564 --> 00:05:57,524 but the rest of the world saw Nintendo 99 00:05:57,607 --> 00:06:00,652 as a toy maker, as an entertainment provider. 100 00:06:00,735 --> 00:06:04,447 And that really rankled Nintendo execs for a couple of years. 101 00:06:04,531 --> 00:06:06,366 It took them a while to realize 102 00:06:06,449 --> 00:06:08,910 that this is not a bug, it's a feature 103 00:06:08,994 --> 00:06:11,288 that we are known throughout the world for entertainment. 104 00:06:11,371 --> 00:06:13,874 And we can use all of this technological advancement 105 00:06:13,957 --> 00:06:15,792 to make people enjoy playing 106 00:06:15,876 --> 00:06:18,253 in ways that no one has ever done before. 107 00:06:18,336 --> 00:06:21,756 - Ladies and gentlemen, please welcome Satoru Iwata. 108 00:06:21,840 --> 00:06:23,550 - Everyone... 109 00:06:23,633 --> 00:06:26,595 this is 110 00:06:26,678 --> 00:06:31,808 Nintendo 3DS. 111 00:06:31,892 --> 00:06:35,20 [cheers and applause] 112 00:06:35,103 --> 00:06:36,104 - The 3DS. Here it is. 113 00:06:36,187 --> 00:06:38,64 This is a total makeover. 114 00:06:38,148 --> 00:06:40,734 It's 3D gaming to the masses without the glasses. 115 00:06:40,817 --> 00:06:44,29 - [battle cry] - You win! 116 00:06:44,112 --> 00:06:46,406 - Nintendo's new 3D handheld 117 00:06:46,489 --> 00:06:49,659 was no match for the elusive draw of a smartphone screen. 118 00:06:49,743 --> 00:06:53,955 - We're gonna take the biggest leap since the original iPhone. 119 00:06:54,39 --> 00:06:59,252 And so today, we're introducing iPhone 4. 120 00:06:59,336 --> 00:07:03,131 - The era of a dedicated portable gaming device seemed to be at an end. 121 00:07:03,924 --> 00:07:07,344 But this would prove to be the least of the company's problems. 122 00:07:08,595 --> 00:07:11,431 [sparse suspenseful music] 123 00:07:11,514 --> 00:07:13,558 id 124 00:07:13,642 --> 00:07:16,811 - Good evening. the nation of Japan has suffered a colossal, 125 00:07:16,895 --> 00:07:20,23 historic earthquake that has caused massive damage, 126 00:07:20,106 --> 00:07:21,566 massive loss of life. 127 00:07:21,650 --> 00:07:25,278 - At 2:46 p.m., on Friday, March 11th, 128 00:07:25,362 --> 00:07:27,572 Nintendo's homeland, Japan, 129 00:07:27,656 --> 00:07:30,784 was hit by the single largest earthquake it had ever felt. 130 00:07:30,867 --> 00:07:33,203 [dramatic music] 131 00:07:33,286 --> 00:07:37,165 Measuring an inconceivable 9.0 on the Richter scale, 132 00:07:37,248 --> 00:07:41,127 it caused massive damage, devastation, and death. 133 00:07:41,211 --> 00:07:44,714 id 134 00:07:44,798 --> 00:07:47,08 Then came the tsunami. 135 00:07:50,220 --> 00:07:54,975 A wall of water over 40 feet high was launched at the island nation, 136 00:07:55,58 --> 00:07:59,604 killing over 15,000 people, injuring twice as many. 137 00:07:59,688 --> 00:08:05,26 id 138 00:08:05,110 --> 00:08:10,615 The costs of rebuilding were estimated at over $120 billion, 139 00:08:10,699 --> 00:08:14,828 making it the most costly natural disaster in world history. 140 00:08:16,496 --> 00:08:21,167 Nintendo employees were safe in its Kyoto and Tokyo offices, 141 00:08:21,251 --> 00:08:23,712 but they still shut down for the next several weeks. 142 00:08:23,795 --> 00:08:25,547 id 143 00:08:25,630 --> 00:08:28,174 Designing a "Super Mario" video game 144 00:08:28,258 --> 00:08:31,386 was at the bottom of any priority list. 145 00:08:31,469 --> 00:08:38,393 id 146 00:08:52,323 --> 00:08:54,576 [bright music] 147 00:08:54,659 --> 00:08:56,828 Despite the devastation, 148 00:08:56,911 --> 00:09:01,166 announcements had been made and a company had to be run. 149 00:09:01,249 --> 00:09:08,48 id 150 00:09:08,131 --> 00:09:09,924 - But we think we've got something, 151 00:09:10,08 --> 00:09:13,553 and we Call it the iPad. [cheers and applause] 152 00:09:13,636 --> 00:09:15,764 - In the wake of Apple's iPad announcement, 153 00:09:15,847 --> 00:09:20,518 the decision was made to replace the Wii controllers with a tablet 154 00:09:20,602 --> 00:09:22,520 and release a new system called... 155 00:09:22,604 --> 00:09:26,232 - Welcome to the world of Wii U. 156 00:09:26,316 --> 00:09:29,69 [upbeat rock music] 157 00:09:29,152 --> 00:09:35,241 id 158 00:09:35,325 --> 00:09:36,910 - The name confounded the public. 159 00:09:36,993 --> 00:09:41,873 - It's a system we will all enjoy together, tailor-made for you. 160 00:09:41,956 --> 00:09:43,458 id 161 00:09:43,541 --> 00:09:44,918 - Was this a new machine, 162 00:09:45,01 --> 00:09:46,920 or an add-on to the Wii? 163 00:09:47,03 --> 00:09:49,756 Is it really necessary to buy this? 164 00:09:49,839 --> 00:09:52,550 Where exactly are the controllers? 165 00:09:52,634 --> 00:09:55,11 id 166 00:09:55,95 --> 00:09:58,598 - You saw there's the ability to game on the TV screen. 167 00:09:58,681 --> 00:09:59,808 You can have the TV off 168 00:09:59,891 --> 00:10:01,601 and game can play on the controller. 169 00:10:01,684 --> 00:10:03,19 - You know, you can lay it on the ground 170 00:10:03,103 --> 00:10:05,480 and use your Wii remote to hit golf balls off of it 171 00:10:05,563 --> 00:10:08,191 or hold it and shoot, you know, throwing stars out of it. 172 00:10:08,274 --> 00:10:11,820 - Our games will feature what we call asymmetric gaming. 173 00:10:11,903 --> 00:10:14,489 So you might have one experience with the GamePad, 174 00:10:14,572 --> 00:10:18,326 other people will have other experiences playing with the Wii Remote Plus. 175 00:10:18,409 --> 00:10:21,79 - Consumer habits were shifting under their feet. 176 00:10:21,162 --> 00:10:23,706 The focus fell on digital distribution, 177 00:10:23,790 --> 00:10:25,291 free-to-play games, 178 00:10:25,375 --> 00:10:26,960 independent studios, 179 00:10:27,43 --> 00:10:30,255 new pricing models, microtransactions, 180 00:10:30,338 --> 00:10:33,633 and this new thing called esports. 181 00:10:33,716 --> 00:10:36,594 [cheers and applause] 182 00:10:36,678 --> 00:10:43,601 id 183 00:10:54,279 --> 00:10:57,657 [suspenseful music] 184 00:10:57,740 --> 00:11:00,285 - What Nintendo did wrong with the Wii U 185 00:11:00,368 --> 00:11:01,953 was almost everything. 186 00:11:02,36 --> 00:11:04,789 id 187 00:11:04,873 --> 00:11:07,667 - | think it didn't have that clarity of purpose 188 00:11:07,750 --> 00:11:09,377 that the original Wii had. 189 00:11:09,460 --> 00:11:11,671 - A lot of people left the show saying, 190 00:11:11,754 --> 00:11:13,06 "| didn't get hardware specs, 191 00:11:13,89 --> 00:11:14,340 "| don't really know what it's going to do. 192 00:11:14,424 --> 00:11:15,717 "Is that controller a big deal? 193 00:11:15,800 --> 00:11:17,343 Maybe it's just, you know, a gimmick." 194 00:11:17,427 --> 00:11:21,931 - And now, the controllers got complicated and the big screen. 195 00:11:22,15 --> 00:11:26,227 - The most disjointed game-playing platform I've ever seen. 196 00:11:26,311 --> 00:11:28,813 - And why call it Wii U? 197 00:11:28,897 --> 00:11:30,732 - It sounds like an ambulance. 198 00:11:30,815 --> 00:11:32,400 [imitating ambulance] Wee-ooh, wee-ooh, wee-ooh. 199 00:11:32,483 --> 00:11:34,110 id 200 00:11:34,194 --> 00:11:38,364 - | actually had almost no experience with the Wii U. 201 00:11:38,448 --> 00:11:41,534 At that point, | was no longer working with Nintendo. 202 00:11:41,618 --> 00:11:44,287 | wasn't very interested in what | viewed 203 00:11:44,370 --> 00:11:48,541 as kind of the Wii Plus, in my mind. 204 00:11:48,625 --> 00:11:51,544 [dramatic music] 205 00:11:51,628 --> 00:11:54,88 id 206 00:11:54,172 --> 00:11:57,50 - It wasn't like it was an upgrade to the Wil. 207 00:11:57,133 --> 00:12:00,678 You should've called it something else entirely different. 208 00:12:00,762 --> 00:12:02,180 id 209 00:12:02,263 --> 00:12:03,681 - All your Wii Remotes and balance boards 210 00:12:03,765 --> 00:12:06,392 will be utilized with the Wii U. 211 00:12:06,476 --> 00:12:08,61 What we're layering on 212 00:12:08,144 --> 00:12:10,647 are all types of new, unique experiences. 213 00:12:10,730 --> 00:12:13,900 - In order to launch a console in modern day, 214 00:12:13,983 --> 00:12:17,946 you have to have a great message from day one. 215 00:12:18,29 --> 00:12:22,992 You have to have a must-have game that everybody wants 216 00:12:23,76 --> 00:12:24,535 and it wasn't there. 217 00:12:24,619 --> 00:12:27,497 id 218 00:12:27,580 --> 00:12:28,498 - Everyone loves Nintendo games. 219 00:12:28,581 --> 00:12:31,417 Everyone buys a Nintendo console to play Nintendo games. 220 00:12:31,501 --> 00:12:32,877 But if you don't have other games, 221 00:12:32,961 --> 00:12:34,963 then you're only gonna be buying one game every year, 222 00:12:35,46 --> 00:12:37,590 every two years, maybe. 223 00:12:37,674 --> 00:12:41,135 - But it appears the company's share of the market is shrinking. 224 00:12:41,219 --> 00:12:43,12 Nintendo originally said 225 00:12:43,96 --> 00:12:45,974 it expected to sell 9 million consoles in fiscal year 2013. 226 00:12:46,57 --> 00:12:49,394 But last week, they revised that forecast to 2.8 million. 227 00:12:49,477 --> 00:12:51,187 id 228 00:12:51,271 --> 00:12:52,772 - Sales for the Wii U have been really disappointing, 229 00:12:52,855 --> 00:12:55,817 so they've just been focusing on the games this year. 230 00:12:55,900 --> 00:12:58,528 - | can't think of a single piece of software 231 00:12:58,611 --> 00:13:00,905 for the Wii U that was worth anything. 232 00:13:00,989 --> 00:13:05,868 - [speaking Japanese] 233 00:13:09,747 --> 00:13:11,749 - It wasn't fun. 234 00:13:11,833 --> 00:13:14,502 - Game over! - Oh, my gosh! Jimmy! 235 00:13:14,585 --> 00:13:17,255 - | didn't know where to push it! 236 00:13:17,338 --> 00:13:18,881 - You know, people aren't getting into as much as 237 00:13:18,965 --> 00:13:22,385 the Xbox One, the PS4, or the console you already had, but. 238 00:13:22,468 --> 00:13:24,804 - It just feels like they're just slipping ever further behind. 239 00:13:24,887 --> 00:13:27,598 - Mario is in for a huge world of hurt 240 00:13:27,682 --> 00:13:31,894 in three, two, one... - Stop! 241 00:13:31,978 --> 00:13:34,147 - Nintendo, | think, did lose a little bit of their audience. 242 00:13:34,230 --> 00:13:36,482 They got a much bigger audience with the Wii, 243 00:13:36,566 --> 00:13:38,609 but they lost some of their hard-core followers. 244 00:13:38,693 --> 00:13:40,69 id 245 00:13:42,613 --> 00:13:45,491 [soft dramatic music] 246 00:13:45,575 --> 00:13:52,498 id 247 00:14:09,557 --> 00:14:11,309 - There are two groups of gamers in the world. 248 00:14:11,392 --> 00:14:15,63 There's the core gamers and the casual gamers. 249 00:14:15,146 --> 00:14:16,689 And up until the Wil, 250 00:14:16,773 --> 00:14:19,25 people thought of core gamers as gamers, 251 00:14:19,108 --> 00:14:21,694 and casual gamers as just everyone else in the world 252 00:14:21,778 --> 00:14:24,280 who has occasionally played "Minesweeper" or something. 253 00:14:24,364 --> 00:14:25,990 - The original Wii came out in 2006. 254 00:14:26,74 --> 00:14:27,825 There was no iPhone. Didn't exist. 255 00:14:27,909 --> 00:14:29,660 There was no smartphones whatsoever. 256 00:14:29,744 --> 00:14:31,662 id 257 00:14:31,746 --> 00:14:33,164 By the time the Wii U came out, 258 00:14:33,247 --> 00:14:35,166 there was the iPhone, the iPad, 259 00:14:35,249 --> 00:14:37,85 Android, Google, smart devices, 260 00:14:37,168 --> 00:14:41,547 all aggressively catering to the same big, 261 00:14:41,631 --> 00:14:42,965 expanded audience. 262 00:14:43,49 --> 00:14:47,428 - Today, we're announcing the new iPad, 263 00:14:47,512 --> 00:14:49,389 and it is amazing. 264 00:14:49,472 --> 00:14:51,808 We've taken it to a whole new level 265 00:14:51,891 --> 00:14:54,602 and we are redefining the category. 266 00:14:54,685 --> 00:14:56,354 [dramatic music] 267 00:14:56,437 --> 00:15:00,942 - And then Nintendo finds, "Oops, we can't just bring out a new game system 268 00:15:01,25 --> 00:15:02,902 and have those people embrace it again." 269 00:15:02,985 --> 00:15:06,322 - There's gonna be a new 3DS hardware model called the New 3DS. 270 00:15:06,406 --> 00:15:07,407 So what do you think about this? 271 00:15:07,490 --> 00:15:08,908 - Goldman Sachs just cut 272 00:15:08,991 --> 00:15:11,411 the Nintendo 12-month target price by 8% 273 00:15:11,494 --> 00:15:14,38 and downgraded the stock to a sell. 274 00:15:14,122 --> 00:15:16,374 id 275 00:15:16,457 --> 00:15:18,918 - When you come off from selling the Wii 276 00:15:19,01 --> 00:15:21,212 and selling over 100 million systems, 277 00:15:21,295 --> 00:15:24,674 it's really tough to lap that performance. 278 00:15:24,757 --> 00:15:27,260 What we're focused on is making sure 279 00:15:27,343 --> 00:15:33,99 we have an effective transition from the Wii U. 280 00:15:33,182 --> 00:15:35,184 [downbeat music] 281 00:15:35,268 --> 00:15:37,19 - The Wii U was a flop, 282 00:15:37,103 --> 00:15:41,649 selling even worse than the GameCube. 283 00:15:41,732 --> 00:15:43,776 Many thought this was the beginning of the end 284 00:15:43,860 --> 00:15:46,571 for the mighty Nintendo dynasty. 285 00:15:46,654 --> 00:15:49,532 They'd stop making consoles and handhelds, 286 00:15:49,615 --> 00:15:53,161 and we'd only see Nintendo games from here on out. 287 00:15:53,244 --> 00:15:55,371 [music fades] 288 00:15:55,455 --> 00:15:57,623 - And gaming is the biggest 289 00:15:57,707 --> 00:16:01,461 and most popular category on the Store 290 00:16:01,544 --> 00:16:05,548 with over a half a million games to choose from. 291 00:16:05,631 --> 00:16:07,383 But there's been something, 292 00:16:09,93 --> 00:16:11,429 or rather, someone, missing. 293 00:16:12,972 --> 00:16:16,392 And I'm so happy to announce today, 294 00:16:16,476 --> 00:16:18,478 he is coming to the App Store. 295 00:16:20,521 --> 00:16:23,399 [cheers and applause] 296 00:16:23,483 --> 00:16:25,985 - Whoo-hoo! [upbeat chime] 297 00:16:26,68 --> 00:16:28,70 - Initially, | was not a fan of Nintendo. 298 00:16:28,154 --> 00:16:30,31 | thought of them as a bully, 299 00:16:30,114 --> 00:16:32,700 | didn't like the idea about their monopoly and everything. 300 00:16:32,783 --> 00:16:34,619 [dramatic music] 301 00:16:34,702 --> 00:16:36,579 When they were in third place 302 00:16:36,662 --> 00:16:38,664 and there was talk that they were gonna get out of the game market, 303 00:16:38,748 --> 00:16:41,542 | was upset, ‘cause | think we needed Nintendo 304 00:16:41,626 --> 00:16:45,213 only for their simple games that kids could play. 305 00:16:45,296 --> 00:16:47,465 id 306 00:16:47,548 --> 00:16:51,469 We need something that's simple, and Nintendo is very good at that. 307 00:16:51,552 --> 00:16:52,637 id 308 00:16:52,720 --> 00:16:54,305 - Nintendo! Whoa! 309 00:16:54,388 --> 00:16:55,181 [screaming] 310 00:16:55,264 --> 00:16:57,58 - [speaking Japanese] - So Nintendo game systems, 311 00:16:57,141 --> 00:17:00,436 for a long time, they were the system that kids played first, 312 00:17:00,520 --> 00:17:03,481 but over the last few years, what we've seen is that kids 313 00:17:03,564 --> 00:17:05,733 are first encountering video games on, you know, 314 00:17:05,816 --> 00:17:07,568 their parent's iPhone. 315 00:17:07,652 --> 00:17:11,739 id 316 00:17:11,822 --> 00:17:14,33 And so we felt that now was the right time 317 00:17:14,116 --> 00:17:16,702 to bring Mario to iPhone, 318 00:17:16,786 --> 00:17:20,206 to introduce a new generation of players to Mario. 319 00:17:20,289 --> 00:17:23,543 id 320 00:17:23,626 --> 00:17:26,420 - More people play on mobile phones than any other platform. 321 00:17:26,504 --> 00:17:27,838 - Whoo-hoo! 322 00:17:27,922 --> 00:17:29,757 - But the role that Nintendo has played 323 00:17:29,840 --> 00:17:35,221 on making gaming kind of a safe and inviting family experience 324 00:17:35,304 --> 00:17:38,391 while also bringing core game experiences to their platform, 325 00:17:38,474 --> 00:17:40,434 | just think has been foundational to the industry 326 00:17:40,518 --> 00:17:42,770 that we have today. 327 00:17:42,853 --> 00:17:45,106 | don't think you can decouple the video game industry 328 00:17:45,189 --> 00:17:48,317 from Nintendo. | think they're just intrinsically tied. 329 00:17:49,110 --> 00:17:51,279 - Just when the press and the world at large 330 00:17:51,362 --> 00:17:55,116 began to put Nintendo in a world of irrelevance... 331 00:17:55,199 --> 00:17:56,867 - It's what everybody's talking about-- 332 00:17:56,951 --> 00:17:58,703 - Going to be a smash hit-- 333 00:17:58,786 --> 00:18:00,413 - "Popular" would be an understatement. 334 00:18:00,496 --> 00:18:02,748 - Seemingly out of the blue, 335 00:18:02,832 --> 00:18:05,585 millions of people from all walks of life 336 00:18:05,668 --> 00:18:08,45 began downloading an app. 337 00:18:08,129 --> 00:18:11,591 - You're playing on your phone, but you have to go to real-world locations. 338 00:18:11,674 --> 00:18:16,387 - Nintendo had quietly been at work with their partners 339 00:18:16,470 --> 00:18:17,763 bringing one of their megastars 340 00:18:17,847 --> 00:18:20,975 into the ultimate, modern incarnation. 341 00:18:21,58 --> 00:18:22,643 - Brings characters like Pikachu and Jigglypuff 342 00:18:22,727 --> 00:18:25,938 to the real world using GPS coordinates on your phone. 343 00:18:26,22 --> 00:18:27,189 - Looking for some Growlithe. - Pikachu! 344 00:18:27,273 --> 00:18:30,109 - | found a Meowth. - Just caught a Pidgey. 345 00:18:30,192 --> 00:18:31,569 - Catch 'em all. - Ta-da. 346 00:18:31,652 --> 00:18:33,487 id 347 00:18:37,867 --> 00:18:38,909 - You get to travel the world. 348 00:18:43,956 --> 00:18:46,667 - The whole world was transformed into a playground 349 00:18:46,751 --> 00:18:49,337 by this augmented reality game. 350 00:18:49,420 --> 00:18:52,298 Players created communities, worked as a team, 351 00:18:52,381 --> 00:18:54,342 and the cultural phenomenon 352 00:18:54,425 --> 00:18:58,220 seemed to bring Nintendo back into the limelight. 353 00:18:58,304 --> 00:19:02,391 - Special buses shuttled excited fans to the only place in South Korea 354 00:19:02,475 --> 00:19:05,227 where they can play the game that's sweeping the world. 355 00:19:05,311 --> 00:19:08,147 - | like going out and walking around and just catching them. 356 00:19:08,230 --> 00:19:09,482 - The best part about this game 357 00:19:09,565 --> 00:19:12,109 is that you are meeting so many other people. 358 00:19:12,193 --> 00:19:14,904 - It brings our community together because you get to meet people 359 00:19:14,987 --> 00:19:16,322 you never thought you could meet. 360 00:19:16,405 --> 00:19:18,574 - The new "Pokémon GO" craze-- - All my kids love Pokémon. 361 00:19:18,658 --> 00:19:19,700 - Pikachu, Pikachu! - "Pokémon GO." 362 00:19:19,784 --> 00:19:20,993 - Pokémon are here. 363 00:19:21,77 --> 00:19:22,411 - "Pokémon GO." - "Pokémon GO." 364 00:19:22,495 --> 00:19:25,39 [cheers and applause] 365 00:19:25,122 --> 00:19:27,249 - | remember an internal Microsoft discussion 366 00:19:27,333 --> 00:19:29,585 when "Pokémon GO" launched of somebody saying, 367 00:19:29,669 --> 00:19:32,46 "Man, this augmented reality gaming, 368 00:19:32,129 --> 00:19:34,882 “that's gonna be the next thing. It's a hit. 369 00:19:34,965 --> 00:19:38,94 Look at all these people playing ‘Pokémon GO." 370 00:19:38,177 --> 00:19:40,930 And | challenged them a bit to say, "Well, really what you have 371 00:19:41,13 --> 00:19:43,182 "is you're seeing the strength of Pokémon. 372 00:19:43,265 --> 00:19:46,60 And it just happens to be an AR game." 373 00:19:46,143 --> 00:19:50,106 - Nintendo has now seen, with "Pokémon GO," 374 00:19:50,189 --> 00:19:52,108 a billion-dollar mobile game. 375 00:19:52,191 --> 00:19:53,901 They've seen what potential there is 376 00:19:53,984 --> 00:19:57,29 if they get more of their brands executed well 377 00:19:57,113 --> 00:19:59,699 on more of the devices that are out there. 378 00:19:59,782 --> 00:20:03,577 | think it's time for Nintendo to not be so preoccupied 379 00:20:03,661 --> 00:20:06,80 only making games for their own hardware. 380 00:20:06,163 --> 00:20:09,41 [soft dramatic music] 381 00:20:09,125 --> 00:20:14,04 id 382 00:20:14,88 --> 00:20:16,966 - Warren Beatty gave "Moonlight"’s Oscar to "La La Land." 383 00:20:17,49 --> 00:20:19,385 - Personally, | blame Steve Harvey for this. 384 00:20:19,468 --> 00:20:21,679 - Gal Gadot had become Wonder Woman. 385 00:20:21,762 --> 00:20:25,683 id 386 00:20:25,766 --> 00:20:29,145 Comedian Jordan Peele became a director with "Get Out." 387 00:20:29,228 --> 00:20:31,856 - | mean, | told you not to go in the house. 388 00:20:31,939 --> 00:20:34,191 - And "The Handmaid's Tale" became a TV show. 389 00:20:34,275 --> 00:20:37,862 - They should have never given us uniforms if they didn't want us to be an army. 390 00:20:37,945 --> 00:20:39,447 - In the midst of it all, 391 00:20:39,530 --> 00:20:41,782 Nintendo gambled on its future. 392 00:20:41,866 --> 00:20:48,789 id 393 00:20:54,712 --> 00:20:56,922 In the spring of 2014, 394 00:20:57,06 --> 00:21:00,176 deep inside Nintendo's research and development lab, 395 00:21:00,259 --> 00:21:03,262 a Silver lining presented itself. 396 00:21:03,345 --> 00:21:04,930 Remember that instead of controllers, 397 00:21:05,14 --> 00:21:08,559 the Wii U had a tablet-like GamePad? 398 00:21:08,642 --> 00:21:12,104 A common criticism was that the GamePad lost all its power 399 00:21:12,188 --> 00:21:15,274 when people moved too far away from the main console, 400 00:21:15,357 --> 00:21:18,652 so Nintendo's mad scientists started thinking. 401 00:21:18,736 --> 00:21:20,738 What if this GamePad thing 402 00:21:20,821 --> 00:21:22,990 could be used as a separate device? 403 00:21:23,73 --> 00:21:26,786 id 404 00:21:26,869 --> 00:21:29,121 What if, indeed. 405 00:21:29,205 --> 00:21:33,751 This simple idea was the seed for their next great evolution. 406 00:21:33,834 --> 00:21:36,837 id 407 00:21:51,60 --> 00:21:54,563 - Nintendo has done so many different things 408 00:21:54,647 --> 00:21:58,317 over more than a century. 409 00:21:58,400 --> 00:22:02,655 It's challenging to say "This is Nintendo's legacy." 410 00:22:02,738 --> 00:22:07,201 | can only suggest what | believe Nintendo's legacy is. 411 00:22:07,284 --> 00:22:10,871 | think it is poetic, | think it is appropriate, 412 00:22:10,955 --> 00:22:13,374 | think it is entirely unsurprising 413 00:22:13,457 --> 00:22:19,213 that Nintendo started as a company making playing cards 414 00:22:19,296 --> 00:22:22,258 which fit in your hand and go into your pocket. 415 00:22:22,341 --> 00:22:26,53 And Nintendo revolutionized the gaming industry 416 00:22:26,136 --> 00:22:27,346 with the Game Boy, 417 00:22:27,429 --> 00:22:29,515 which fits in your hand and goes in your pocket. 418 00:22:29,598 --> 00:22:34,144 And now, Nintendo is changing the gaming world 419 00:22:34,228 --> 00:22:35,521 with the Nintendo Switch, 420 00:22:35,604 --> 00:22:40,401 which fits in your hand and goes in your pocket. 421 00:22:40,484 --> 00:22:42,987 - So can we get a drum roll? - This is it. 422 00:22:43,70 --> 00:22:44,488 - Jimmy, are you ready? - No, no, no. 423 00:22:44,572 --> 00:22:46,31 - Are you ready? - Yeah, no, I'm freaking out. 424 00:22:46,115 --> 00:22:47,32 This is not the Switch. 425 00:22:47,116 --> 00:22:48,492 - This is the Nintendo Switch. 426 00:22:48,576 --> 00:22:49,785 - That's what I'm talking about. 427 00:22:49,869 --> 00:22:51,912 [cheers and applause] 428 00:22:51,996 --> 00:22:53,706 id 429 00:22:53,789 --> 00:22:55,457 - Gather around the TV ‘cause Nintendo has released 430 00:22:55,541 --> 00:22:58,252 one of the most anticipated consoles in recent memory. 431 00:22:58,335 --> 00:23:01,714 - Nintendo is having a strong start in sales this year 432 00:23:01,797 --> 00:23:03,841 with the launch of that Switch console. 433 00:23:03,924 --> 00:23:05,426 - Are you surprised by the response? 434 00:23:05,509 --> 00:23:08,95 It's now the fastest-selling console in Nintendo's history. 435 00:23:08,178 --> 00:23:11,640 - Nintendo is heading towards a billion dollars in profits 436 00:23:11,724 --> 00:23:15,19 thanks to strong sales of the popular Switch console. 437 00:23:15,102 --> 00:23:17,396 - We can't keep the Nintendo Switch in stock. 438 00:23:17,479 --> 00:23:20,24 - 'Cause I've heard from very reliable sources about Link, 439 00:23:20,107 --> 00:23:22,234 the character, Link-- that Link is hot. 440 00:23:22,318 --> 00:23:23,819 - Right now, 441 00:23:23,903 --> 00:23:26,906 it's the fourth highest-rated video game in history. 442 00:23:26,989 --> 00:23:28,824 - Is Link hot to you? 443 00:23:28,908 --> 00:23:30,743 - Link is hot. | gotta say, Link is hot. 444 00:23:30,826 --> 00:23:32,411 - Dude, | am freaking out! 445 00:23:32,494 --> 00:23:34,330 This is a game-changer! Thank you so much! 446 00:23:34,413 --> 00:23:37,207 - Absolutely. - Reggie, | love this! 447 00:23:37,291 --> 00:23:39,793 - When they decided to call it the Nintendo Switch, 448 00:23:39,877 --> 00:23:42,504 the Switch, that's a wonderful, 449 00:23:42,588 --> 00:23:45,132 not-so-between-the-lines reading of saying, 450 00:23:45,215 --> 00:23:48,552 "Hey, those other consoles you've been playing for ten, 451 00:23:48,636 --> 00:23:51,138 "15 years at this point, it's time to switch over 452 00:23:51,221 --> 00:23:53,307 and play a Nintendo console." 453 00:23:53,390 --> 00:23:55,768 - I'm a huge fan of the Switch. 454 00:23:55,851 --> 00:23:57,770 Nintendo is always thinking in terms of, 455 00:23:57,853 --> 00:24:00,272 "How do we bring smiles to people's faces? 456 00:24:00,356 --> 00:24:02,983 How do we bring joy to people's lives?" 457 00:24:03,67 --> 00:24:05,736 And that's not just a PR line. 458 00:24:05,819 --> 00:24:09,365 | really, genuinely think that everyone is thinking in terms of, 459 00:24:09,448 --> 00:24:12,451 "How do we surprise and delight people 460 00:24:12,534 --> 00:24:14,578 with experiences that they haven't had before?" 461 00:24:14,662 --> 00:24:16,997 - When | first saw the Switch, | thought, 462 00:24:17,81 --> 00:24:19,291 "Oh, that looks great but | don't understand 463 00:24:19,375 --> 00:24:21,752 "why they're showing all these older people 464 00:24:21,835 --> 00:24:23,379 “playing in the commercials. 465 00:24:23,462 --> 00:24:26,48 And are people really gonna do that?" 466 00:24:26,131 --> 00:24:28,592 And last year, my son, who turned 30, 467 00:24:28,676 --> 00:24:31,95 that's what he wanted for Christmas was a Switch. 468 00:24:31,178 --> 00:24:33,347 So it's clear that they have it right. 469 00:24:33,430 --> 00:24:38,394 id 470 00:24:38,477 --> 00:24:41,355 - They're sort of going back to their roots in a way 471 00:24:41,438 --> 00:24:44,858 by incorporating all of these cool toys 472 00:24:44,942 --> 00:24:47,486 and add-ons and peripherals and things that you can do 473 00:24:47,569 --> 00:24:50,823 with still your video game handheld console. 474 00:24:50,906 --> 00:24:53,200 No other company is doing anything like that. 475 00:24:53,283 --> 00:24:56,912 Nintendo really, like, has this strong, strong, focus 476 00:24:56,996 --> 00:25:01,458 on creating entertainment that you can't get anywhere else. 477 00:25:01,542 --> 00:25:03,919 - | mean, just look at "Animal Crossing" right now. 478 00:25:04,03 --> 00:25:05,504 Their ability to bring in 479 00:25:05,587 --> 00:25:07,297 their tried-and-true franchises 480 00:25:07,381 --> 00:25:09,508 that have existed on other platforms 481 00:25:09,591 --> 00:25:12,886 and make them feel so native to what the Switch was 482 00:25:12,970 --> 00:25:15,514 like you almost can't envision those games existing 483 00:25:15,597 --> 00:25:17,307 on any platform other than Switch, 484 00:25:17,391 --> 00:25:18,475 and so many of their franchises 485 00:25:18,559 --> 00:25:20,19 have been around for decades. 486 00:25:20,102 --> 00:25:22,688 -A legendary, amazing Zelda game, 487 00:25:22,771 --> 00:25:25,315 A groundbreaking Mario game, "Mario Odyssey," 488 00:25:25,399 --> 00:25:27,526 was one of my very favorite games of all time. 489 00:25:27,609 --> 00:25:30,738 [upbeat music] 490 00:25:30,821 --> 00:25:32,197 - "Super Mario Odyssey," 491 00:25:32,281 --> 00:25:34,366 I've never played where you throw a hat 492 00:25:34,450 --> 00:25:36,76 and you can do a million things with it. 493 00:25:36,160 --> 00:25:38,537 | would never have used that as a weapon. 494 00:25:38,620 --> 00:25:41,81 | would've never thought that it was a weapon or a tool. 495 00:25:41,165 --> 00:25:43,125 - You know, when !| got to the city festival level, 496 00:25:43,208 --> 00:25:46,253 | was misty-eyed ‘cause it was awesome. 497 00:25:46,336 --> 00:25:49,298 [music fades] 498 00:25:49,381 --> 00:25:51,425 [indistinct chatter] 499 00:25:51,508 --> 00:25:55,179 - | definitely expect this platform to do better than Wii U. 500 00:25:55,262 --> 00:25:59,600 How much will it approach the experience of the Wii is yet to be seen. 501 00:25:59,683 --> 00:26:02,519 [soft dramatic music] 502 00:26:02,603 --> 00:26:04,188 id 503 00:26:10,235 --> 00:26:15,449 - This Wii sold a game console to my mom. 504 00:26:15,532 --> 00:26:17,367 In her 70s. 505 00:26:18,911 --> 00:26:22,748 My mom isn't running out to buy a Switch. 506 00:26:22,831 --> 00:26:24,833 Why is that? 507 00:26:24,917 --> 00:26:29,713 Nintendo is doing now the opposite 508 00:26:29,797 --> 00:26:33,926 of what made them big in the ‘80s. 509 00:26:34,09 --> 00:26:36,345 Now, they seem to be going for quantity again 510 00:26:36,428 --> 00:26:38,847 with the Nintendo Switch. 511 00:26:38,931 --> 00:26:42,392 There's a lot of great games, but where do you start? 512 00:26:42,476 --> 00:26:44,812 When | think of Nintendo, | don't think about 513 00:26:44,895 --> 00:26:50,442 a thousand casual games and mediocre games, you know? 514 00:26:50,526 --> 00:26:55,656 Nintendo has a level of quality, and you know, 515 00:26:55,739 --> 00:26:58,33 | just feel like by opening the floodgates on the Switch, 516 00:26:58,117 --> 00:27:00,869 they've kind of veered off 517 00:27:00,953 --> 00:27:03,372 from what made them great in the first place. 518 00:27:03,455 --> 00:27:05,332 - This is the "Good Housekeeping" seal, 519 00:27:05,415 --> 00:27:06,625 granted only when a product 520 00:27:06,708 --> 00:27:08,585 meets very demanding requirements. 521 00:27:08,669 --> 00:27:09,920 id 522 00:27:10,03 --> 00:27:13,340 - | think they've been able to come back 523 00:27:13,423 --> 00:27:17,845 based on the right innovation at the right time, sometimes. 524 00:27:17,928 --> 00:27:19,638 id 525 00:27:19,721 --> 00:27:24,101 ! still believe that they have a weak underbelly 526 00:27:24,184 --> 00:27:27,146 of trust in the industry. 527 00:27:27,229 --> 00:27:28,814 | think that when you have 528 00:27:28,897 --> 00:27:32,276 a lot of people rooting for you to fail, 529 00:27:32,359 --> 00:27:36,405 you don't have the resilience that you'd like. 530 00:27:36,488 --> 00:27:39,658 - It's very difficult when you're moderately successful 531 00:27:39,741 --> 00:27:43,787 to take all the things that you're moderately successful at 532 00:27:43,871 --> 00:27:46,832 and throw them in the trash to free yourself up 533 00:27:46,915 --> 00:27:50,836 to become bigger, you know, and more successtul. 534 00:27:50,919 --> 00:27:55,841 They have no problem shedding off layers of success. 535 00:27:55,924 --> 00:28:00,470 Nintendo gave up on traditional home gaming hardware 536 00:28:00,554 --> 00:28:03,974 to essentially sell people on the idea of, 537 00:28:04,57 --> 00:28:05,559 "We're gonna make a tablet 538 00:28:05,642 --> 00:28:07,561 “and you're gonna hook that tablet up to your TV 539 00:28:07,644 --> 00:28:08,687 and play games on it." 540 00:28:08,770 --> 00:28:10,939 And that's another big risk. 541 00:28:11,23 --> 00:28:13,859 But it's why they're so successful now, 542 00:28:13,942 --> 00:28:17,654 because they've got out of that market again entirely 543 00:28:17,738 --> 00:28:20,32 that is now taken up by Xbox and PlayStation 544 00:28:20,115 --> 00:28:22,659 and they're in a totally different space now. 545 00:28:22,743 --> 00:28:24,244 And that's what Nintendo, 546 00:28:24,328 --> 00:28:26,997 throughout the course of its history, has done. 547 00:28:27,80 --> 00:28:30,250 id 548 00:28:30,334 --> 00:28:32,377 - We build our systems to sell well, 549 00:28:32,461 --> 00:28:34,880 to make magic for the consumer, 550 00:28:34,963 --> 00:28:37,90 but the fact that this is now our best-selling system 551 00:28:37,174 --> 00:28:40,219 after essentially a week on the market is fantastic. 552 00:28:40,302 --> 00:28:41,845 - Now Pete is over there playing... 553 00:28:41,929 --> 00:28:48,852 id 554 00:29:03,951 --> 00:29:08,997 - Risk, reward, stubbornness, willingness. 555 00:29:09,81 --> 00:29:12,709 A console that seemed to mix together all of Nintendo's personalities 556 00:29:12,793 --> 00:29:14,86 and rich history. 557 00:29:15,128 --> 00:29:18,215 - There have been so many moments 558 00:29:18,298 --> 00:29:20,259 throughout the history of Nintendo 559 00:29:20,342 --> 00:29:23,262 from the NES to the Wii to the Switch. 560 00:29:23,345 --> 00:29:26,723 They announce something and they're laughed at. 561 00:29:26,807 --> 00:29:29,184 And they're literally laughed at and called crazy. 562 00:29:29,268 --> 00:29:32,354 And how could you ever think that this would become successful? 563 00:29:32,437 --> 00:29:36,566 And those are the times when Nintendo just explodes. 564 00:29:36,650 --> 00:29:41,822 And if Nintendo ever loses that, it will be a sad day. 565 00:29:41,905 --> 00:29:44,950 But so far, they have not lost that. 566 00:29:45,33 --> 00:29:48,78 all: Five, four, three, two-- 567 00:29:48,161 --> 00:29:49,746 [cheering] 568 00:29:49,830 --> 00:29:55,544 id 569 00:29:55,627 --> 00:29:58,255 - What's the secret to success? 570 00:29:58,338 --> 00:30:01,08 A bit of luck? Maybe. 571 00:30:01,91 --> 00:30:03,802 Being prepared? Sure. 572 00:30:03,885 --> 00:30:07,681 Getting your big break? Why not? 573 00:30:07,764 --> 00:30:11,685 Some would say success is about perseverance. 574 00:30:11,768 --> 00:30:16,64 Others, it's about overcoming obstacles. 575 00:30:16,148 --> 00:30:18,483 Others still might say 576 00:30:18,567 --> 00:30:25,324 success is about finding and delivering something unique and of lasting value, 577 00:30:25,407 --> 00:30:28,285 something the world doesn't know it needs... 578 00:30:28,368 --> 00:30:29,828 until it does. 579 00:30:31,538 --> 00:30:35,417 But this isn't a story about mere success, 580 00:30:35,500 --> 00:30:38,03 this is a story about ambition, 581 00:30:38,86 --> 00:30:40,797 competition, standing your ground, 582 00:30:40,881 --> 00:30:42,632 and letting the best ideas win. 583 00:30:42,716 --> 00:30:49,598 id 584 00:30:51,558 --> 00:30:55,312 - It's so important to respect 585 00:30:55,395 --> 00:30:57,647 and acknowledge the contributions 586 00:30:57,731 --> 00:30:59,858 that the early console designers, 587 00:30:59,941 --> 00:31:04,154 that the guys who had hardly any memory to work with, 588 00:31:04,237 --> 00:31:07,616 and how they just pushed the limits of hardware 589 00:31:07,699 --> 00:31:10,577 so that we could have games now 590 00:31:10,660 --> 00:31:13,663 that we just totally take for granted, 591 00:31:13,747 --> 00:31:17,584 that they are miracles of technology. 592 00:31:17,667 --> 00:31:20,253 - From my discussions with my friends at Nintendo, 593 00:31:20,337 --> 00:31:22,172 | don't get the sense they spend a lot of time 594 00:31:22,255 --> 00:31:26,385 thinking about Xbox or PlayStation in building their road map. 595 00:31:26,468 --> 00:31:28,345 | think they think about their customer and the players 596 00:31:28,428 --> 00:31:29,846 and where they're trying to go, 597 00:31:29,930 --> 00:31:32,974 and that's clearly been a good approach for them. 598 00:31:33,58 --> 00:31:34,601 - You know, someone asked me one time, 599 00:31:34,684 --> 00:31:37,896 what does your organization chart look like? 600 00:31:37,979 --> 00:31:40,232 And | said it's one long line with everybody on it 601 00:31:40,315 --> 00:31:42,859 because we're all part of the company. 602 00:31:42,943 --> 00:31:44,778 And that was really true at Nintendo. 603 00:31:44,861 --> 00:31:47,781 We did everything, everyone did everything, 604 00:31:47,864 --> 00:31:50,909 and everyone complemented everyone. 605 00:31:50,992 --> 00:31:52,744 And it was a family. 606 00:31:52,828 --> 00:31:55,372 And | think that's where success comes from. 607 00:31:55,455 --> 00:31:58,41 - Mr. Arakawa and Howard and Ron 608 00:31:58,125 --> 00:32:00,752 and Peter Main, and others, 609 00:32:00,836 --> 00:32:02,421 those guys really instilled in us 610 00:32:02,504 --> 00:32:04,589 that we needed to do the right thing, 611 00:32:04,673 --> 00:32:06,258 whatever the circumstance. 612 00:32:06,341 --> 00:32:07,926 Whether it was taking care of customers, 613 00:32:08,09 --> 00:32:10,220 whether it was taking care of employees. 614 00:32:10,303 --> 00:32:11,763 | think that was an important lesson 615 00:32:11,847 --> 00:32:14,391 and, you know, | carry it to this day. 616 00:32:14,474 --> 00:32:18,270 - Mr. Arakawa, he wasn't worried about 617 00:32:18,353 --> 00:32:22,858 the cost that we'd spend to take care of the customer. 618 00:32:22,941 --> 00:32:25,527 He knew the value of taking care of the customer 619 00:32:25,610 --> 00:32:27,779 from a long-term perspective. 620 00:32:27,863 --> 00:32:31,658 You never hear of Nintendo doing something 621 00:32:31,741 --> 00:32:34,244 to improve quarterly earnings. 622 00:32:34,327 --> 00:32:37,414 It's a longer game than that. 623 00:32:37,497 --> 00:32:41,418 It's an eternal game for them to stay in the gaming industry, 624 00:32:41,501 --> 00:32:43,378 so that's why part of the reason is 625 00:32:43,462 --> 00:32:47,841 that the customer service is always so important. 626 00:32:47,924 --> 00:32:50,343 - | would always say that | sell joy for a living. 627 00:32:50,427 --> 00:32:53,680 And people that understand that that's what it's about 628 00:32:53,763 --> 00:32:55,974 and can really have great passion about the game, 629 00:32:56,57 --> 00:32:57,767 the experience, the characters, 630 00:32:57,851 --> 00:33:00,687 are the ones that really make the company sing. 631 00:33:10,989 --> 00:33:13,992 - The Nintendo story is amazing. 632 00:33:14,75 --> 00:33:17,162 Dedication and innovation and trying and failing 633 00:33:17,245 --> 00:33:19,39 and trying and winning. 634 00:33:19,122 --> 00:33:22,667 It's what, frankly, we could all hope for in our own lives. 635 00:33:22,751 --> 00:33:25,212 - Nintendo is always going to be remembered 636 00:33:25,295 --> 00:33:32,844 as a company that has been willing to take big risks 637 00:33:32,928 --> 00:33:38,433 if it believes that it can change the world. 638 00:33:38,517 --> 00:33:40,227 When Nintendo puts out a product, 639 00:33:40,310 --> 00:33:43,188 if you hear the pundits say, 640 00:33:43,271 --> 00:33:46,107 "Oh, that's a really good idea from Nintendo." 641 00:33:46,191 --> 00:33:48,735 it's probably not gonna be a success 642 00:33:48,818 --> 00:33:50,737 because those are the products 643 00:33:50,820 --> 00:33:52,572 that match up with what people's expectations are 644 00:33:52,656 --> 00:33:54,32 and that they sound like 645 00:33:54,115 --> 00:33:56,868 they should be something that is successful. 646 00:33:56,952 --> 00:34:01,706 When the pundits, when the industry analysts, 647 00:34:01,790 --> 00:34:06,962 when the entrenched gamers don't understand something? 648 00:34:07,45 --> 00:34:09,381 That's usually a good indication 649 00:34:09,464 --> 00:34:13,760 that it's a brand-new, exciting idea. 650 00:34:13,843 --> 00:34:18,265 - They're really aware of every aspect of gaming. 651 00:34:18,348 --> 00:34:19,975 Their games are created 652 00:34:20,58 --> 00:34:25,814 so anyone from ages five to 100 can enjoy 653 00:34:25,897 --> 00:34:29,192 and Nintendo's just always gonna flourish because of that. 654 00:34:29,276 --> 00:34:30,694 id 655 00:34:30,777 --> 00:34:32,862 - The thing that | look at is 656 00:34:32,946 --> 00:34:35,490 how many people are coming into gaming 657 00:34:35,574 --> 00:34:38,285 because of their first experience on a Nintendo platform 658 00:34:38,368 --> 00:34:39,911 because their friend has one and they bring it in? 659 00:34:39,995 --> 00:34:42,163 I've always said | think the health of Nintendo 660 00:34:42,247 --> 00:34:45,00 is something that we should cherish as an industry. 661 00:34:45,83 --> 00:34:47,02 And watching them grow and innovate 662 00:34:47,85 --> 00:34:49,379 is both great for us as an industry, 663 00:34:49,462 --> 00:34:53,216 and also inspiration for us at Xbox to do better. 664 00:34:53,300 --> 00:34:56,94 id 665 00:34:56,177 --> 00:34:58,430 - This industry can generally be very engineer-driven. 666 00:34:58,513 --> 00:34:59,681 And engineers are very much, 667 00:34:59,764 --> 00:35:01,266 "Cut to the chase. What's the point?" 668 00:35:01,349 --> 00:35:03,101 And when you think about it, 669 00:35:03,184 --> 00:35:05,770 games are the perfect blend of art and science. 670 00:35:05,854 --> 00:35:08,64 You need to have that surgical programmer sense, 671 00:35:08,148 --> 00:35:09,691 but you also need to feel the moment. 672 00:35:09,774 --> 00:35:11,651 And when you have the game design mechanics 673 00:35:11,735 --> 00:35:13,612 and the technology working in tandem, 674 00:35:13,695 --> 00:35:15,822 that's where the magic comes from and that's what Nintendo gets. 675 00:35:15,905 --> 00:35:20,452 id 676 00:35:20,535 --> 00:35:22,579 [cheers and applause] 677 00:35:22,662 --> 00:35:26,666 - All right! It's close to that time! 678 00:35:26,750 --> 00:35:32,88 id 679 00:35:43,183 --> 00:35:45,143 - Nintendo is able to connect with kids 680 00:35:45,226 --> 00:35:48,521 in a way that no movie can, no book can, 681 00:35:48,605 --> 00:35:52,25 no other way of story can. 682 00:35:52,108 --> 00:35:57,280 id 683 00:35:57,364 --> 00:36:05,622 Kids love interactivity, they love playing, they love having a friend. 684 00:36:05,705 --> 00:36:10,377 Nintendo has been that friend to two, three generations of children now. 685 00:36:10,460 --> 00:36:12,879 id 686 00:36:12,962 --> 00:36:14,47 Those children grow up 687 00:36:14,130 --> 00:36:16,758 and pass on their Nintendo lore to their kids. 688 00:36:16,841 --> 00:36:20,345 - Nintendo Switch! - "Super Mario 64." 689 00:36:20,428 --> 00:36:21,971 This was my favorite growing up. 690 00:36:22,55 --> 00:36:24,224 - After all the successes and failures, 691 00:36:24,307 --> 00:36:25,809 hits and misses, 692 00:36:25,892 --> 00:36:29,729 if there's one philosophy that remains, it's a combination 693 00:36:29,813 --> 00:36:33,274 of innovation and experimentation, 694 00:36:33,358 --> 00:36:36,152 boldness and patience, 695 00:36:36,236 --> 00:36:39,114 taking risks, and staying the course. 696 00:36:39,197 --> 00:36:42,33 Following and leading. 697 00:36:42,117 --> 00:36:44,828 Embracing principles and contradictions. 698 00:36:45,995 --> 00:36:47,872 Nintendo's true legacy 699 00:36:47,956 --> 00:36:50,792 is that success comes from knowing 700 00:36:50,875 --> 00:36:54,796 that people don't know what they want until they see it... 701 00:36:54,879 --> 00:36:56,756 - Now Mario lives in a 3D world. 702 00:36:56,840 --> 00:36:59,08 - Pokémon is proving to be a smash hit this summer. 703 00:36:59,92 --> 00:37:00,552 - Experience it... 704 00:37:00,635 --> 00:37:03,346 - My name is Reggie and we're about making games. 705 00:37:03,430 --> 00:37:06,725 all: Wii, Wii, Wii, Wii, Wii, Wii, Wii, Wii, Wii! 706 00:37:06,808 --> 00:37:08,560 - Play it... 707 00:37:08,643 --> 00:37:11,438 [dramatic music] 708 00:37:11,521 --> 00:37:17,819 id 709 00:38:49,410 --> 00:38:51,663 - Yes, yes! - [chuckles] 710 00:38:51,746 --> 00:38:54,958 id 711 00:39:10,348 --> 00:39:13,643 - Their controllers are called Joy-Cons, so I'm awaiting the day 712 00:39:13,726 --> 00:39:16,646 that Nintendo has its own gaming convention, 713 00:39:16,729 --> 00:39:19,232 which will probably be called Joy-Con. 714 00:39:19,315 --> 00:39:21,442 [soft dramatic music] 715 00:39:21,526 --> 00:39:22,318 - Yeah, | don't think-- 716 00:39:22,402 --> 00:39:23,987 | mean, it's kind of like at the end of the day, 717 00:39:24,70 --> 00:39:26,72 gamers aren't really looking for their consoles 718 00:39:26,155 --> 00:39:29,117 to brew decaf lattes and seven other things. 719 00:39:29,200 --> 00:39:30,743 They just want to play great games. 720 00:39:30,827 --> 00:39:32,787 - | wouldn't mind if | could get a latte out of my console. 721 00:39:32,871 --> 00:39:34,831 That'd be kind of cool. [chuckles] 722 00:39:34,914 --> 00:39:36,457 id 723 00:39:36,541 --> 00:39:37,792 - One of the many, many times 724 00:39:37,876 --> 00:39:39,294 | knew | loved Lauren deep down-- 725 00:39:39,377 --> 00:39:41,713 we realized we both love "Tetris." 726 00:39:41,796 --> 00:39:44,924 Myself back in, you know, back in the day when | was 15, 727 00:39:45,08 --> 00:39:46,801 and was in the Nintendo World Championships. 728 00:39:46,885 --> 00:39:49,220 Her "Tetris" is the DS one. 729 00:39:49,304 --> 00:39:51,97 And | gained a tremendous amount of respect for you 730 00:39:51,180 --> 00:39:52,724 when we went to Mexico with our DSs 731 00:39:52,807 --> 00:39:54,893 and you absolutely smoked me with those T-spins. 732 00:39:54,976 --> 00:39:56,895 - Oh, yeah, you gotta learn the T-spins. 733 00:39:56,978 --> 00:39:58,938 And | used to compete in "Tetris" 734 00:39:59,22 --> 00:40:01,232 at a couple tournaments, so it was a lot of fun. 735 00:40:01,316 --> 00:40:03,26 | would even go like, me versus like, four people, 736 00:40:03,109 --> 00:40:05,945 and | would still win on "Tetris" DS one, so. 737 00:40:08,156 --> 00:40:12,827 id 738 00:40:12,911 --> 00:40:15,163 - So during the '90s, when my wife and | were dating 739 00:40:15,246 --> 00:40:17,916 and then got married, we would play Super Nintendo. 740 00:40:17,999 --> 00:40:21,02 And we played "Street Fighter II Turbo" 741 00:40:21,85 --> 00:40:24,130 and that got kind of ugly. [chuckles] 742 00:40:24,213 --> 00:40:27,300 | was better than her and she did not like to lose, 743 00:40:27,383 --> 00:40:30,261 and so when | was just destroying her with E Honda 744 00:40:30,345 --> 00:40:33,973 or whatever, and she's Chun-Li 745 00:40:34,57 --> 00:40:35,808 and she's just dying over and over. 746 00:40:35,892 --> 00:40:37,268 She didn't care for that too much. 747 00:40:37,352 --> 00:40:42,357 And there were possibly tears shed, but | won't say for sure. 748 00:40:48,29 --> 00:40:52,533 - "Aladdin" is a wonderful game that we did with Disney. 749 00:40:52,617 --> 00:40:54,744 And the team that did it, 750 00:40:54,827 --> 00:40:57,705 we couldn't get the ROM cartridge down to the show, 751 00:40:57,789 --> 00:41:00,750 the E3 show in time, when Jeff Katzenberg, 752 00:41:00,833 --> 00:41:02,961 who was then President of Disney, was coming around. 753 00:41:03,44 --> 00:41:04,462 So | had to delay him. 754 00:41:04,545 --> 00:41:06,714 I'm walking with him and getting him coffee 755 00:41:06,798 --> 00:41:09,425 and taking him over to Electronic Arts. 756 00:41:09,509 --> 00:41:11,344 And just delaying and delaying and delaying. 757 00:41:11,427 --> 00:41:12,303 Finally he says, "Come on! 758 00:41:12,387 --> 00:41:14,555 | came here to see the Aladdin game! Where is it?" 759 00:41:14,639 --> 00:41:18,184 And | hear in my earpiece that the gal had the ROM cartridge 760 00:41:18,267 --> 00:41:19,811 had fallen asleep with it 761 00:41:19,894 --> 00:41:22,355 and she was rushing from the hotel to the show. 762 00:41:22,438 --> 00:41:25,441 Literally she got there and put it into the Genesis machine 763 00:41:25,525 --> 00:41:29,988 as the same time | came around the corner with Jeffrey Katzenberg, President of Disney, 764 00:41:30,71 --> 00:41:31,72 and showed him the game. 765 00:41:31,155 --> 00:41:32,448 Of course, everybody loved it. 766 00:41:32,532 --> 00:41:35,284 So, anyway. Fun, little story. 767 00:41:35,368 --> 00:41:40,289 id 768 00:41:42,792 --> 00:41:45,670 - [speaking Japanese] 55942

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