Pokemon GO app adds $10b to Nintendo market value in four days

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Pokemon GO app adds $10b to Nintendo market value in four days

Nintendo y Pokemon

Last October, Nintendo and Alphabet (GOOGL) announced they were investing up to $30 million in Niantic to work on Pokemon Go. Niantic was formerly part of Google, but was spun off as an independent entity in August as part of the latter’s restructuring into Alphabet.

“It reaffirms Nintendo’s control of the industry,” van Dreunen added, explaining that for Nintendo, the lack of performance hasn’t exactly been due to its lack of quality. It simply hasn’t had to react as quickly to all the sector-wide changes as some of its smaller, younger peers.

Shares in Japan’s Nintendo Co Ltd soared again on Monday, bringing market-value gains to $US7.5 billion ($10 billion) in just two days as investors cheered the runaway success of Pokemon GO – its first long-awaited venture in mobile gaming.

Japan’s Nintendo has seen its shares surge further on Monday after a 9 percent gain on hopes that its earnings will get a major boost from its newly-launched Pokémon Go video game.

Unlike its previous games, Pokémon Go is the first mobile game from Nintendo. iPhone or Android phone users can download the game for free. The game has managed to jump to the top of the free app rankings in iTunes Store and Google Play Store after its debut in the US and Australia on July 6.

Japan’s Nintendo has seen its shares surge further on Monday after a 9 percent gain last Friday on hopes that its earnings will get a major boost from its newly-launched Pokémon Go video game.

Unlike its previous games, Pokémon Go is the first mobile game from Nintendo. iPhone or Android phone users can download the game for free. The game has managed to jump to the top of the free app rankings in iTunes Store and Google Play Store after its debut in the US and Australia on July 6.

It is now on more Android phones than dating app Tinder and its rate of daily active users was neck and neck with social network Twitter, the analytics firm said. The game is also being played an average of 43 minutes a day, more time spent than on WhatsApp or Instagram, it added.

The game was a much-needed win for Nintendo, which Pachter, the Wedbush gaming analyst, estimates will make at least $25 million from the app this year, despite not having developed it. The Japanese company is a part-owner of the franchise’s parent company, the Pokémon Co., and had the right to keep Pokémon games exclusively on its own consoles. Still, the fact that Nintendo gave its blessing to the game is a sign that it is loosening its long-held resistance to mobile games. Nintendo has developed three apps so far with a mobile game company, including its Miitomo social network, which was a modest hit when it was released earlier this summer.

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