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Nintendo acquires JESNET to take control of distribution

Nintendo now controls the entire product pipeline.

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Nintendo has announced today that will acquire Japanese company JESNET. The company already is responsible for game distribution and now will become a Nintendo subsidiary next April.

Here’s what Nintendo had to say in their statement;

As a manufacturer of video game systems, Nintendo is committed to bringing smiles to people across the world through products and services. To continue to produce an unprecedented level of fun, Nintendo has worked to produce products that anyone can enjoy, regardless of their age, gender or past gaming experience.

At the same time, JESNET and AJIOKA have been the largest-scale companies dedicated to handling Nintendo products in Japan for many years, selling mainly video game systems through their nation-wide distribution network.

This subsidiarization and acceptance of assignment of business will unify Nintendo’s product development acumen with JESNET’s and AJIOKA’s robust stocking and sales networks to form a supply structure that can meet consumer demand in a timely fashion. This means that Nintendo will have an integrated system from the development through supply of its products, allowing for rapid decision-making and an improvement in sales service. These steps are intended to strengthen the overall competitiveness of the Nintendo group and increase its corporate value.

This now means that Nintendo controls everything about their games and their production process. Nintendo development, market and distribution their own games all the way through to stores.

Source: Nintendo

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Daniel Vuckovic

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