Nintendo CEO Shuntaro Furukawa announced that the company is currently funding a $880 million “development expansion” thanks to the booming Switch business (Thanks, VGC). This was stated in Nintendo’s second quarter financials report and the company is not dismissing studio acquisitions either. These investments help bolster their internal game development capabilities. Additionally, Nintendo plans to invest another $440 million into movies and non-game assets similar to the upcoming Super Mario movie starring Chris Pratt. Switch players with the Nintendo Switch Online subscriptions will not be ignored either. According to the report, another $2.6 billion will be invested into “expanding relationships with customers” and services. Here’s what Furukawa had to say:
“As a company that brings smiles through entertainment, Nintendo’s goal has always been to create original entertainment.
In a business with extreme fluctuations like the entertainment business, the basic policy of our financial activities has been to secure cash and other liquid assets so we can continually offer products and services that constantly deliver new surprises.
While this basic policy will not change, the Nintendo Switch business has exceeded our expectations, putting us in a strong cash position in these last few years and presenting a good opportunity to reconsider how to most effectively utilize our cash in a variety of strategic and meaningful ways.”
Nintendo gears up for some big business moves and should affect the current Switch positively. In the meantime, stay tuned at Final Weapon for the latest Japanese gaming news!