"We built up cash reserves when earnings were strong. Because the entertainment industry ebbs and flows in wild swings, Mr. Yamauchi insisted it is vital to have deep pockets. Without savings, we could not have recovered from a single failure in game systems. Even now, we can afford many options because of our robust financial standing."
"We should abandon old assumptions about our businesses. We are considering M&As as an option." said Satoru Iwata, President of Nintendo, in an interview with publication Nikkei on the last days.
M&A refers to Mergers and Acquisitions, which mean Nintendo is considering acquire (buy) more studios/ Publishers to expand their work force (and IP portfolio) and/or create partnerships with other Companies that share their interests.
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Now what studio could buy Nintendo that could create a mutual benefit for both parties? I say Capcom is the perfect option.
