Nokia engages with connected game deck
07-10-2003
by Barry McCall

 

Built for what Nokia is calling "active and hardcore" gamers, the N-Gage is being billed as the first mobile and connected game deck with on-line 3D multiplayer gameplay over Bluetooth and GPRS. The device, which also functions as a tri-band mobile phone, is retailing in Ireland for between EUR329 and EUR349.

A particular feature of the deck is that gamers will be able to use the N-Gage Arena to find other players over the air. N-Gage Arena services are initially being offered free of charge to consumers for a trial period, although data traffic fees are payable according to operator tariffs.

In a statement released at the launch, Ilkka Raiskinen, senior vice president of entertainment and media at Nokia Mobile Phones, said that shoppers can now walk into a store and begin playing games against opponents anywhere on the globe. "The Nokia N-Gage game deck opens up an amazing new mobile gaming experience to people around the world," Raiskinen said.

Nokia has announced a number of new titles coming in time for the holiday season, including such bestsellers as NCAA Football 2004, Red Faction, and a special N-Gage version of Tom Clancy's Splinter Cell.

According to the Deutsche Bank games analyst team, the launch marks an important element of Nokia's digital convergence growth strategy, with the entry into the entirely new market of gaming and the launch of a new brand.

Deutsche Bank has forecast sales of 0.5 million units for N-Gage in the fourth quarter alone. "The quality of initial game titles should outweigh the hardware drawbacks of the first device (screen size, game card location etc)," the bank said in a research note. "That said, the likely lack of subsidies for prepaid devices is a concern both for the distribution channel, requiring gaming retailers to sign-up contracts, and for addressing an important target market -- youth prepaid."

The analysts say that 2004 is likely to be the make-or-break year for N-Gage, with a more customised product -- the 'N-Gage II' -- and more mature multi-player gaming titles. Despite competitor products from Nintendo and Sony due to come on stream next year, Deutsche Bank sees scope for volumes of 3.5 million in 2004 and 4.8 million in 2005. Overall the bank's analysts believe N-Gage to be a risk worth taking with a strong possibility of its adding EUR0.06 to the company's earnings per share.