It adds that Nintendo only stands to gain 32% of whatever split TPC benefits from Pokemon Go. Even with Mewtwo as allegedly the most powerful Pokemon, Mewtwo is still not helping Nintendo in making money.
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Shares in Japanese games company Nintendo have fallen for a second day, adding to Monday’s record loss, after it said that Pokemon Go’s success would have limited impact on its profits. When markets opened on Monday, investors responded to the news by wiping a whopping 18 percent off Nintendo’s stock value.
Besides the earnings announcement on Wednesday, Morgan Stanley said the next focus point is if Pokemon Go launches in China, where access to geographical data necessary for the game is restricted by the government.
Nintendo’s stock value is still 60% higher than it was before the app’s launch.
So what: More specifically, in a press release issued Friday after the market close, Nintendo noted Niantic, a USA -based company that developed and distributes the game, has started distributing the Pokemon Go app in Japan. The company said in a statement on Friday, when US-based Niantic, which was spun off by Google parent Alphabet (GOOG) past year, released Pokemon Go in Japan. The Pokémon Company, which is an affiliated company of Nintendo Co., Ltd. Downloading the app is also free so Nintendo and others are banking on users gravitating to paid-for services in the game itself.
It will only make an indirect profit from the augmented reality game – a small slice of the licensing fees and other compensation collected by The Pokemon Company. Now that the game is broken, the steps remain the same and the players have to rely on their instincts to catch the Pokemon.
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As of late, “Pokémon Go” only houses 151 creatures – the original Pokemons from the first season of the animated series. The company is producing the Pokemon Go Plus, a bluetooth device that works in conjunction with the game.
