Nintendo Claims It Still Beats Rivals, Even If Evidence Says Otherwise

Nintendo says it is doing remarkable well, especially in America. Recent data from the industry show that sales of the company’s Wii have slowed considerably. Sony (SNE) and Microsoft (MSFT) have released products meant specifically to chip away at Nintendo’s market share.

Nintendo’s management wants the press to forget about all of that.

According to Reuters, the head of Nintendo’s US operations said that his company’s sales are up 19% so far this year, while the industry is off 4%. Nintendo’s measure for success is vague. It defines revenue “as sales of Nintendo-related gaming hardware, software and accessories from the Japanese company and some of its third-party vendors.” Based on that assessment, a lot of the money that Nintendo is including in “sales” does not go into the company’s pocket.

Nintendo seems intent on skirting the point that Microsoft and Sony have learned a great deal from the success of the Wii and DSi. There have replicated many features of the consoles and appear to be willing to cut price, at least selectively, to pick up business.

Nintendo may still be in first place in the video game market, but research firms that track video game sales show that its lead is shrinking and that its competition has come up with formulas to successfully pick up business that Nintendo needs to remain in its No.1 spot.

Douglas A. McIntyre