Nintendo Shares lose 17% Over Knowledge They Did Not Make Pokémon Go

Nintendo Shares loose 17% Over Knowledge They Did Not Make Pokémon Go 1

Since Pokémon Go was released, Nintendo stocks have been on the upswing. Everyone, including members of the press, have been bringing Nintendo in the conversation when talking about the new augmented reality game Pokémon Go. Yet, as people had to be reminded on Friday, The Pokemon Company is not wholly owned by Nintendo and despite what everyone thinks, Nintendo did not make Pokémon Go.

In a statement Friday, Nintendo issued a notice that the Pokémon Go would not have a major impact on revenues. The project was developed by Niantic, a former Google company, and was licenced by The Pokémon Company, of which Nintendo owns about one-third share stake in.

With the false belief that Nintendo was indeed behind the new mobile phenomenon, investors have been clamouring to jump onto the craze. Nintendo stocks skyrocketed, pushing it higher than the tech powerhouse Sony.

Following the notice, the share price dropped 17.72 percent to ¥23,320 ($219.87). Despite this, Nintendo is still trending upwards compared to what the stock was sitting at before the launch of Pokémon Go on July 8th when it was at ¥16,270 ($153.40).

It should be noted, that while Nintendo did not develop Pokémon Go, it is the one making the Pokémon Go Plus, a peripheral that is being sold along side the app. The little device will allow trainers to be alerted of nearby Pokemon as they walk, without the need to have their phone out at all times.

With Pokémon fever present in the cultural zeitgeist, and demand for Nintendo properties at an all-time high, the time is right for Nintendo to give more details on their future mobile titles. While Miitomo was not the smash hit they may have hoped, Pokémon Go has proven the demand, as long as the game taps into what people love. Time will tell if Nintendo will try and tap into this craze or sit back and see the fallout. We will keep you updated as the news unfolds.

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