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How Nintendo plans to make money from your iPhone

March 18, 2015, 6:19 PM UTC
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LOS ANGELES, CA - JUNE 07: The new Nintendo game console Wii U is displayed at the Nintendo booth during the Electronic Entertainment Expo on June 7, 2011 in Los Angeles, California. The Wii U will have HD graphics, a controller with a 6.2 inch touchscreen and be compatible with all other Wii accessories. (Photo by Kevork Djansezian/Getty Images)
Photo by Kevork Djansezian—Getty Images

Nintendo will work with Japanese mobile company DeNA to start making mobile games for smartphones and tablets, the companies announced Tuesday. In an interview with TIME published Wednesday, Nintendo CEO Satoru Iwata detailed how the company will monetize its upcoming mobile titles:

I understand that, unlike the package model for dedicated game systems, the free-to-start type of business model is more widely adopted for games on smart devices, and the free-to-start model will naturally be an option for us to consider. On the other hand, even in the world of smart device apps, the business model continues to change. Accordingly, for each title, we will discuss with DeNA and decide the most appropriate payment method. So, specifically to your question, both can be options, and if a new Nintendo-like invention comes of it, then all the better.

Iwata also talked about what the development process will be like for Nintendo’s mobile games:

Development of smart device games will be mainly done by Nintendo, but it is significant that we are forming a joint development structure with DeNA. Nintendo, through experience in the dedicated game system business, is good at making traditional game products. But for smart devices, in addition to the “product” aspect of a game, the aspect of an ever-evolving “service” is very important—a service that encourages consumers to play every day even for a short time. DeNA has extensive know-how in developing the “service” side of things, and will be primarily responsible for the service-oriented operations. We will be able to greatly leverage strengths of each party.

Read all of the interview with Iwata at TIME.