Facing its third year of continuous losses, Nintendo president Satoru Iwata has commented on the struggles facing the company. In a surprise news conference, Iwata admitted he misread the markets and said the company needed to change.
"The way people use their time, their lifestyles, who they are—have changed," Mr. Iwata said. "If we stay in one place, we will become outdated."
According to the Wall Street Journal, Iwata says that Nintendo is considering a "new business structure," and will likely give more details in a strategy briefing at the end of the month. Will Iwata resign?
"In Japan, I can be my own antenna, but abroad, that doesn't work," Iwata said, noting that sales in Japan were better than abroad. This could open the floodgates for Nintendo of America to be more aggressive in making serious decisions for the company as a whole.
Regardless of the company's recent misfortunes, Nintendo is far from dead. While the company is projecting a loss of $240 million for the current fiscal year, it still has more than $4 billion in cash reserves to sustain itself.