Wednesday, August 11, 2010

Nintendo's Disruption Leads to 30 Million Wii Sales in the US in Record Time

Nintendo's stunning disruption of the video game world continues at a record pace.  The Wii has sold 30 million consoles in the US in 45 months.  That's a record pace, kids.

I think this would be a good time to understand exactly what Nintendo's business plan has been these past five years.  This is no mere "fad" and no luck is involved.  What we are witnessing is a textbook case in disruptive innovation.  The old values of the Cinematic Games era is being swept away by the new values of the Social Games age.

The old incumbents - Sony and Microsoft - will eventually become marginalized if they are not destroyed completely.  Disruption is not a means of competition among friends; it is a bloodsport.  I think the game industry understands this, and to a great extent, this explains their hostility to Nintendo and the Wii.  But that's a long discussion for another time.

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