Annual Report 2006 - Nintendo

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A nnual Repor t 2006

Message from the President
Over the past two decades, the video game industry has grown into a respected entertainment medium, with annual sales rivaling box office receipts for the movie industry. Nintendo continues to create unique software - driven entertainment by e n s u r i n g t h a t o u r h a rd w a re a n d s o f t w a re a re c re a t e d w i t h o n l y o n e g o a l i n m i n d ,
a n enjoyable playing experience for all. This mindset has enabled Nintendo to create products and characters beloved by people around the world.

The video game industry has grown tremendously, but market expansion efforts have stalled because the development of games that are more complex and graphically intense has been the focus of game companies for too long. Declining game software sales in the North American market last year illustrate that this slowing of game sales is now problematic outside the Japanese market as well.

With

these

circumstances

in

mind,

Nintendo

has

implemented

a

strategy

which

encourages people around the world to play video games regardless of their age,
gender or cultural background. Our goal is to expand the gaming population.

The first tangible product that comes from this strategic direction is the Nintendo DS,
which employs unique features like dual-screens, a touch-screen, wireless communication and voice recognition technology to take gaming in a new direction. On the software front,

Nintendo

Generations ,