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Nintendo's Origins
Acquired
The Power of a Platform and a Network Effect in the Video Game Console Business
The terms that he sets up for the initial licensees in Japan, Kei just copies the Atari business model. They pay Nintendo a 20% royalty on their revenues from the games. And indeed, the next set of licensees inJapan, Nintendo ups the cut to 30%. This is the power of a platform and a network effect in the video game console business. All right. So if you make a video game, you should probably figure out a way to go to market on this.
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