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"The Rare Factor"

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Sat 10/08/02 at 19:08
Regular
Posts: 787
Another day, another snippet of news from everyone’s favourite third party developer (if you’re an Nintendo fan at least) – Rare. This time comes the news that two prospective Gamecube and GBA releases, Donkey Kong Racing and Donkey Kong: Coconut Crackers have been struck of future release schedules, possibly forever. Which begs the question, have Rare finally bitten the bullet and cut their ties with Nintendo? If they have, then this causes repercussions that will reverberate all around the gaming world. This post will examine the potential effects that Rare ‘going solo’ would have, not only on Gamecube and Nintendo, but on the dynamics of the industry as a whole.

About a year ago now, Sega were struggling. Sales of the Dreamcast were slipping, despite arguably one of the best software line-ups of any console ever. Money spent on advertising was reaping fruitless rewards, their killer app, RPG/action adventure hybrid Shenmue was not widely accepted as they hoped it would, especially in comparison to Square’s flagship franchise Final Fantasy, and with the Playstation 2 on the horizon (not to mention Microsoft and Nintendo’s efforts) the future was anything but rosy. But with one decision, their fortunes changed. By deciding to cease production of Dreamcast and switching to software production only, overnight Sega went from a struggling company to one of the hottest commodities in the industry – every major console player wanted Sega games to grace their console, and there was speculation of a Microsoft takeover. It didn’t materialise, but in one swift move Sega’s share price rocketed and their fortunes took a turn for the better.

The point of that little history lesson was to make certain comparisons between Rare and Sega. Sure, Rare aren’t in the console business, and they certainly aren’t struggling, but Rare could too make the transition that Sega could. From being restricted to Nintendo only, if Rare went multiformat they could become even bigger players in the industry, not to mention tripling their games sales, and ultimately revenue – an attractive proposition for any company. As has been well documented, the days of exclusive games are practically over –despite a few ties, most developers understand the financial benefits at least of making their games appearing on all consoles.

How will Rare going multi-format affect Nintendo? Arguably, Rare saved the N64. With the long droughts between major releases and a lack of major third party support due to the high cost of cartridges, Rare’s games kept the ’64 afloat – Banjo Kazooie, Conker, Blast Corps (well, maybe not that), Perfect Dark, Goldeneye, DK64, etc. Nintendo owe Rare a lot – without those games their place in the industry might have been under threat, and despite the part-ownership element, Rare could have made a lot more money than they did from multiformat releases. Miyamoto has also made his appreciation of them clear, citing when asked about his favourite developer (bar Nintendo of course) as Rare, saying they make “very good games”.

But now? Well, there is only one release on the way – Starfox Adventures, which seems to have been an age in development. Kameo hasn’t been seen since two Spaceworlds ago, and the aforementioned DK games have both been struck off release dates. The mischievous, and now infamous, Christmas card could have been an indicator of their discontent, maybe Nintendo are restricting their creative licence - who knows what goes on behind the scenes. Perhaps any potential animosity might arise from the fact that Nintendo have lazily farmed out old franchises, in this case the Starfox crew, to Rare rather than let them stick with the Dinosaur Planet ones. I may be clutching at straws here, but it is valid nonetheless. Also, Nintendo aren’t as dependent on Rare anymore – they have the support of Square and Resident Evil franchise, not to mention their new philosophy.

But let’s look at another perspective. Sure, it can be argued that Nintendo might not be able to live without Rare, but think of it this way –can Rare live without Nintendo? Some of Rare’s most popular games have been from the Nintendo ‘stable’, whilst some of Rare’s own creations – Blast Corps, Jet Force Gemini haven’t been as successful. It can be argued that, FPSs aside, games featuring more established characters have done better. Plus, Nintendo have been very patient in allowing Rare to take as much time as possible when creating games – others might not be so understanding.

Would a Rare multi-format decision hurt Gamecube? Probably. Would it bother Nintendo? Maybe, but they always maintain that they don’t pressurise anyone else to make games for their console. Whatever transpires, in this industry of card games, Rare hold a powerful hand, and what they do with it could determine who wins the game (what a dodgy analogy).

Thank you and goodnight.
Sun 11/08/02 at 10:30
Regular
Posts: 5,630
I forgot to mention the speculation involving a possible takeover by Activision. This could be a factor, as it is unlikely they would be so understanding when it comes to release dates.
Sun 11/08/02 at 10:29
Regular
"PC Gaming Founder"
Posts: 2,136
Well, we all like to THINK Rareware aint going nowhere, mainly because we're Ninty's and also because it would seem like such an enormous move for the company to make.
But if they're NOT going anywhere, then why are they making such a big deal for themselves? Why are they cancelling games left, right and centre and giving away suspicious hints such as the Christmas card etc? WHY BOTHER?
Rare aren't normally ones to go diving under the spotlight at every given opportunity so I very much doubt they're trying to pull off one of the most controversial marketing stunts now!

Somethings going down at Rare...and it ain't good. :(
Sun 11/08/02 at 10:22
Regular
"what is knowledge ?"
Posts: 2,112
all hail the knowledgeable messiah , the rareware boffin :)
Sun 11/08/02 at 10:17
Regular
"keep your receipt"
Posts: 990
"When Nintendo first invested in Rare back in April 1995, it purchased a 25% share of the British developer. However, in October 1997 Rare expanded its operations and increased its nominal capital from £10,000 to upwards of £14.7 million. The shares were split between three companies. Rareware Ltd. is the majority shareholder (52%) and is owned and run by Chris and Tim Stamper. Rare Acquisition Inc. (37.8%) is owned by Nintendo Co., Ltd. and is represented by ex-NOA executive Howard Lincoln. The third partner is Rare Coin-It Inc. (10.2%), which is headed by Joel Hochberg."

So with almost half of Rare's short 'n' curlies being firmly in the grasp of other companies it seems that RareWare will have to lose a massive amount of money ditching those shares just to be able to sell games on other formats. To me, it would seem like too much hassle for Rare to go multi-format. I'm quietly confident RareWare will be staying second-party.
Sun 11/08/02 at 09:58
Regular
"what is knowledge ?"
Posts: 2,112
0-MessiaH-0 wrote:
> Remember that Nintendo owns 36% of RareWare. So anything that
> RareWare do, Nintendo nabs 36% of the profit. The only way for Rare
> to go multi-format is to buy that 36% of themselves back.

i thought it was 49% ?
Sat 10/08/02 at 22:09
Regular
"Peace Respect Punk"
Posts: 8,069
This topic loks suspiciously similar to one in Prime I replied to...

OH MY GOD! It is the same! Looks like RM18 has been copying topics again, trying to win another GAD! But I never thought he'd steal someone else's work...

;-)
Sat 10/08/02 at 21:12
Regular
"what is knowledge ?"
Posts: 2,112
uh oh :(

sorry about that , i tried to use tab to make a paragraph but it didn't work and i posted it three times , i thought i cancelled it before it finished proccesing it , but it didn't .. .. sorry , dont hate me :)
Sat 10/08/02 at 21:11
Regular
"keep your receipt"
Posts: 990
Remember that Nintendo owns 36% of RareWare. So anything that RareWare do, Nintendo nabs 36% of the profit. The only way for Rare to go multi-format is to buy that 36% of themselves back.
Sat 10/08/02 at 21:10
Regular
"what is knowledge ?"
Posts: 2,112
i dont reckon Rare will leave nintendo ... why ... because im in denial and i dont want them too :(
it wont be that bad without them , it's just that their games will appear on other consoles aswell as the gamecube , so we wont be missingout on much except for the ninty owned franchises whic hthey might even give to rare anyway to make for the gamecube only , just like they gave sega (amusment vison) F-zero , and Namco StarFox. If they do develope for other consoles aswell , then i reckon that what ive said above will happen.

unless of course ....


Rare are currently delving over a new console , the Rarevinator (we like , no ?) 2 twice as powerfull as the xbox, photo ralistic graphics , Rare only games , plus they are investing in new development teams , teams that will each create a different genre of game , teams that include some of the youngest minds in the gaming (from 20 onwards) all those adds in edge for new staff , all those people sending in CV's , it's all leading to this , one mega company resebling the strength of SEGA , with 50 plus development teams. It will be a Rare only console , as with so many teams no other companies will be needed. As the consoles strength increases , other developers and publishers will want to jump on board , Rare will be un-stop-able , they will buy out nintendo , whos own faithful minions have moved to rare for their equally as great games , then all ninty's will buy the Rarevinator , wanting the exclusive rare and nintendo games , then with the money that nintendo once had and the new found wealth of their console , they will buy out Sony (The gaming part of sony) and have the likes Gran Turismo and GTA on their console , finally they will buy out Capcom , Konami, Retro Studios , every well known developer they can afford , leaving just the huge companies (EA) to their own devices.

Microsoft will refuse to be bought out as they have no need to , they can cope without Rare , but then they find that they have no punters left , no-one to buy their ageing Xbox , they have no choice but to pull out of the console business , with no developer developing games for their console anymore , they have no choice - the Microsoft console developement core is dead.

Every gamer in the world will own Rare's console (except hardcore PC gamers of course) there will be no competition and games quality will start to go down hill, eventually developers will be releasing a new game every day , game prices will go down to £5 each. Then everyone will realise how poor videogames are now , even Shigsy can't be bothered , so everyone either :

Option 1- The developing community have a huge meeting (in a custom built 100 acre sized building ) and decide that enough is enough , half of them go one way and make their own console , the other half makes their own console , and we have the first console war emerging in 10 years. Gamers will rejoice at having some choice , something to compare , something to taunt others about "my Rarevinator 17 is better that you weedy Thompsons Home Leisure entertainment suite 48 ! WAY BETTER " Games will be heaving with quality with each developer trying to out-do the others , the games will be great , they will be unstopable , they will last longer than ever , while some will stay relativly short , but provide the best experience of your life. The gaming world will be saved , we will all be happy , SORTED !

Option 2 : Everyone gives up with games , and go out into the open air and play with Daisy's , and sing with the birds , some may even try to "do" it on park benches , the world will be become clean again , and everyone will remember Timmy the dog that was left in the corner surviving on his own excrement , and will play with him again. Just like the good old days...


Option 3 : Both of the above happen , option 1 first then option 2 - everyone will be using so much electricity that we will burn out the world , literally, we will have used the nuclear activity at the center of the earth , and wear it out , now the world starts to crumble , whole parts are sent off careering torwards the sun, people still living on them till they realise that the oceans are boiling away , and that only half of auntie mary's house is still next door.
So with all the power gone people decide to go out of their homes for the first time in six months , finding the natural light blinding (well you are closer to the sun now of course) and the air toxic (the nuclear power plants have exploded) and everyone dies in a mass Apocalypse , some die from the fumes , some are blinded by the ever closer sun and walk into a neighbours garden with a fierce dog , and some die after being singed in the sun.

Life as we know it has ended , and it's all thanks to those little men in red suspenders who started it all off...



So is this going to happen ... i very much doubt it , but you never know , some people never thought that sliced bread was possible , now look , we can even do it ourselves in Sainsbury's! (it's actually pretty cool , you choose the loaf that you want , put it in the machine and it slices it ! I was amazed the first time , and still am.
Sat 10/08/02 at 21:04
Regular
"what is knowledge ?"
Posts: 2,112
i dont reckon Rare will leave nintendo ... why ... because im in denial and i dont want them too :(
it wont be that bad without them , it's just that their games will appear on other consoles aswell as the gamecube , so we wont be missingout on much except for the ninty owned franchises whic hthey might even give to rare anyway to make for the gamecube only , just like they gave sega (amusment vison) F-zero , and Namco StarFox. If they do develope for other consoles aswell , then i reckon that what ive said above will happen.

unless of course ....


Rare are currently delving over a new console , the Rarevinator (we like , no ?) 2 twice as powerfull as the xbox, photo ralistic graphics , Rare only games , plus they are investing in new development teams , teams that will each create a different genre of game , teams that include some of the youngest minds in the gaming (from 20 onwards) all those adds in edge for new staff , all those people sending in CV's , it's all leading to this , one mega company resebling the strength of SEGA , with 50 plus development teams. It will be a Rare only console , as with so many teams no other companies will be needed. As the consoles strength increases , other developers and publishers will want to jump on board , Rare will be un-stop-able , they will buy out nintendo , whos own faithful minions have moved to rare for their equally as great games , then all ninty's will buy the Rarevinator , wanting the exclusive rare and nintendo games , then with the money that nintendo once had and the new found wealth of their console , they will buy out Sony (The gaming part of sony) and have the likes Gran Turismo and GTA on their console , finally they will buy out Capcom , Konami, Retro Studios , every well known developer they can afford , leaving just the huge companies (EA) to their own devices.

Microsoft will refuse to be bought out as they have no need to , they can cope without Rare , but then they find that they have no punters left , no-one to buy their ageing Xbox , they have no choice but to pull out of the console business , with no developer developing games for their console anymore , they have no choice - the Microsoft console developement core is dead.

Every gamer in the world will own Rare's console (except hardcore PC gamers of course) there will be no competition and games quality will start to go down hill, eventually developers will be releasing a new game every day , game prices will go down to £5 each. Then everyone will realise how poor videogames are now , even Shigsy can't be bothered , so everyone either :

Option 1- The developing community have a huge meeting (in a custom built 100 acre sized building ) and decide that enough is enough , half of them go one way and make their own console , the other half makes their own console , and we have the first console war emerging in 10 years. Gamers will rejoice at having some choice , something to compare , something to taunt others about "my Rarevinator 17 is better that you weedy Thompsons Home Leisure entertainment suite 48 ! WAY BETTER " Games will be heaving with quality with each developer trying to out-do the others , the games will be great , they will be unstopable , they will last longer than ever , while some will stay relativly short , but provide the best experience of your life. The gaming world will be saved , we will all be happy , SORTED !

Option 2 : Everyone gives up with games , and go out into the open air and play with Daisy's , and sing with the birds , some may even try to "do" it on park benches , the world will be become clean again , and everyone will remember Timmy the dog that was left in the corner surviving on his own excrement , and will play with him again. Just like the good old days...


Option 3 : Both of the above happen , option 1 first then option 2 - everyone will be using so much electricity that we will burn out the world , literally, we will have used the nuclear activity at the center of the earth , and wear it out , now the world starts to crumble , whole parts are sent off careering torwards the sun, people still living on them till they realise that the oceans are boiling away , and that only half of auntie mary's house is still next door.

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