Denis Dyack agrees with Iwata's assessment of App industry, says current setup is hurting industry

“As an example, my understanding is that there are 17,000 fart apps right now. Those are more fart apps than anyone could possibly ever consume. What that does… when you start having performance oversupply, it accelerates the commoditization that drives the value of games down. EEDAR did a talk at a conference where they said the gross average for an iOS game - gross, not net - was $700. I can guarantee you that a company like ours and most people cannot survive on a $700 gross. So what’s happening is you have a lot of people going into this hoping that they’re going to get this smash hit like Angry Birds and you have a lot of investment in this industry and it’s not clear if that’s a viable industry. Looking at that number, it’s frightening, but what it seems to be doing is eroding the handheld market where you’re actually getting really high quality games instead of fart apps. And I’m not saying there aren’t quality games on the iOS, because there are; there are some good games there, but there’s so much performance oversupply and so much commoditization, that it actually is affecting, in my opinion, the industry in a very negative way. And from the perspective of what Iwata-san is saying and what Reggie [Fils-Aime] is saying, I do agree that the industry has to be really careful with that - you’re seeing such a dramatic disruption.” - Denis Dyack

I think the problem was, everyone took Iwata’s statements as an ‘old guard’ company that was worried about Apple. It’s not that often that I agree with what Dyack says, but I do side with him in this instance. I know I don’t need that many fart apps!

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