Original report comes from the paywalled The Information, that they tried to sell to private equity for $100B-$150B, but that it was short lived and fell through. This backs what a lot of us have been thinking based on the moves Sharma has been making, that they track with a sell-off of the Xbox brand.
I don’t think Nintendo operates like that: https://www.cnbc.com/make-it/2024/02/13/nintendo-ceo-once-halved-salary-to-prevent-layoffs-why-thats-uncommon.html
That one is always misleading. It’s a known Japanese corporate move. As the article says, called “hansei”. Culturally regarded as an empty public gesture done exclusively to save the company’s public image. It works as a PR move, and it obviously did here, since it happened in 2013 and people still talk about it.
But, it actually does nothing financially, and usually none of the money saved goes anywhere. Nintendo avoided layoffs because they hoard liquidity. Have done so since the 80’s. Their revenue could collapse and they could lose money for a decade and still not reach bankruptcy. That is far more unique to tech corporations than halving executive’s pay. It is what actually has been protecting Nintendo from their failures. They still exploit and abuse employees just like every other Japanese corporation.
Doesn’t make it misleading, it is something that happened. I never read Sony did this before. Which other company did that, other than Nintendo?
Where do you get that?
(Edited a quote and reply away, because I was too dumb to read correctly.)
So because it saves Nintendo from their failures, does mean its misleading to write articles that Nintendo did it?
In what way and where did you got that? Are there reports about Nintendo doing it?
Iwata is just different. It definitely won’t happen today.
When did Nintendo do mass layoffs? Nintendo is just not in a position where they buy lot of companies, then mass layoff (or cut salary in halve) when a game does disappoint. So you are right that it won’t happen today, but for different reasons. I’m convinced that they would probably take a hit themselves, instead laying off huge part of their developers. This is one of the few things I actually like about Nintendo; and overall I don’t like Nintendo anymore. The mass layoffs issue is a Western world phenomenon mostly (but not exclusively, just a tendency).
Is Nintendo big tech though? They seem kinda too specific to a sub section of an industry unlike the other companies that typically come to mind when big tech is mentioned.
Depends on what Big Tech and how big it is means to you. If we speak about the biggest tech companies ruling the world, then Nintendo isn’t it. But Nintendo is in my opinion big and a tech company. I mean even Netflix can count as big tech company, depending on the definition, and they are not as big nor do they something different than video streaming: https://en.wikipedia.org/wiki/Big_Tech