December 5, 2006

The Next iPod?

By John Miller

In “Homerpalooza,” a Simpsons episode from 1996, Homer slowly realizes he is no longer hip. While visiting his local record store for the first time in years, Homer disagrees with the young clerk’s assertion that Hullabalooza is the greatest music festival ever, saying, “There can only be one truly great music festival, and that’s the US Festival!” Naturally, the clerk has never heard of it. Homer explains, “It was sponsored by that guy from Apple Computers.” The clerk responds, “What computers?”

Ironically, a joke about Apple’s antiquated status is now antiquated; such is the fickle world of business and technology. As we all know, Apple’s iPod was the main catalyst in its turnaround. Its computers were great, but the iPod put Apple back on the consumer’s radar, particularly the coveted 18-34 demographic.

Like Apple’s first personal computer, the Nintendo Entertainment System revolutionized its industry in the 1980s. Thanks to the Wii, Nintendo’s latest console, the company could be on the verge of an iPod-like comeback.

Most expected a two-way race between Microsoft’s Xbox 360 and Sony’s PlayStation 3 (PS3) for this generation’s top-selling console. Sony was the top dog the past two generations, and the 360 has a one-year head start on the recently released Wii and PS3.

This time around, Nintendo has taken a completely different approach. Instead of competing with the PS3 and 360’s raw computing power, Nintendo is focusing on innovative controls and making its product more accessible to non-gamers. The Wii’s unique controllers are essentially motion-detecting remote controls. By making the Wii less powerful than the competition, it’s also cheaper. The Wii sells for about $250 while the high-end models of the 360 and PS3 cost about $400 and a whopping $600, respectively.

So far, it appears Nintendo’s plan is working. The Wii is getting rave reviews from gaming veterans and novices alike. Legend of Zelda: The Twilight Princess has garnered particularly glowing praise, but Wii Sports, which comes with the system, is the short-term key to grabbing your grandmother’s attention. Wii Sports is a simple, yet intuitive compilation of baseball, golf, boxing, bowling, and tennis that focuses heavily on motion-based controls. In tennis, for instance, the controller is your racket. When the ball is coming your way, there’s no button mashing necessary; simply grab the controller as you would a racket’s handle and swing away.

Pretty cool, huh? Based on a myriad of anecdotal evidence – mostly scouring internet message boards – traditional gamers aren’t the only ones who think so. Several young posters claim their parents are hooked almost as badly as they are. Even Irene Haskins, a 78-year-old newspaper columnist, admitted the Wii was appealing.

When Nintendo initially described its get-the-non-gamers strategy, I was skeptical. But with the Wii’s combination of motion-based controls, more intuitive games, a relatively cheap price, and its ability to attract both hardcore and novice gamers, Nintendo must be taken seriously. As of Nov. 27, the Wii had already sold more than 600,000 units, and nearly four million could be available by year’s end.

Ultimately, I think the Wii could bring the hip factor back to Nintendo in much the same way the iPod made Apple cool again. Despite its lack of graphical prowess, the Wii is the only truly revolutionary console on the market. The 360 and PS3 are basically more powerful versions of the same systems that have been around for years.

Hardcore gamers will undoubtedly buy millions of all three consoles, but Sony and Microsoft are unwittingly disenfranchising an untapped audience even further while Nintendo is furiously trying to attract the neophytes. But it’s hard to blame Sony and Microsoft for taking a less risky strategy when gaming is a multi-billion dollar industry. On the other hand, Nintendo isn’t satisfied with being a distant second to Sony in sales, which is fabulous news for consumers.

Note to Simpsons writers: Make Nintendo jokes at your own risk.