Business Breakdowns
Episode 203 Gaming Consoles Part 3: Nintendo
Business Breakdowns

Episode 203: Gaming Consoles Part 3: Nintendo

Business Breakdowns

Episode 203

Gaming Consoles Part 3: Nintendo

Ryan O'Connor is the founder of Crossroads Capital. We cover the modern history of Nintendo consoles that started with the NES, what drives consumers to choose the Switch platform over PlayStation and Xbox, and the opportunities to monetize Nintendo's incredible catalog of IP beyond the world of gaming.

Show Notes

(00:00:00) Introduction to Business Breakdowns

(00:00:52) Episode Overview: Nintendo Breakdown

(00:01:58) Nintendo's Business Transformation

(00:04:57) The Origins of Nintendo

(00:07:14) The Video Game Crash of 1983

(00:10:18) Nintendo's Revival Strategy

(00:13:23) The NES Era and Quality Control

(00:17:57) Modern Nintendo: Digital and Third-Party Ecosystem

(00:23:40) Nintendo's Focus on Younger Generations

(00:31:36) The Shift to a Recurring Revenue Model

(00:37:43) Revenue Model of Nintendo Switch

(00:38:11) Backward Compatibility and AI Enhancements

(00:39:59) Nintendo Switch Online: The Netflix of Games

(00:43:20) Nintendo's Business Model Transformation

(00:49:24) Digital vs. Physical Game Sales

(00:59:19) Nintendo's IP and Cinematic Universe

(01:06:53) Management and Shareholder Relations

(01:12:10) Risks and Future Outlook

(01:13:40) Key Lessons from Nintendo's Evolution

Gaming Consoles Part 3: Nintendo

Introduction

Matt
This is Matt Reustle and today's episode is the third in our three-part miniseries on video game consoles. And here we are breaking down Nintendo. My guest is Ryan O'Connor. He is the founder of Crossroads Capital, and Ryan has what I would just say is a wealth of knowledge when it comes to Nintendo, and you will hear it across this episode. We get into the history of this brand and this business, how they revitalized the industry in the 80s, which I think is particularly notable.

Some of their strategic decisions, which I think have spilled out elsewhere as Ryan lays out in the discussion, and how the Nintendo Switch is a new economic opportunity for the business moving forward. That ties into the console thesis which we have discussed on the previous two episodes.

Special thanks to Eric Jorgensen, who connected me with Ryan. When Eric said Ryan could go deep on Nintendo, he included seven E's in that word deep. And I think that emphasis was spot on. So please enjoy this episode on Nintendo.

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