Hiroshi Yamauchi

After Square decided to move Final Fantasy VII from Nintendo to Sony's PlayStation and publicly criticised the Nintendo 64, relations deteriorated sharply. In 2001, when Square wanted to develop for Game Boy Advance, Yamauchi stated that Nintendo had no intention of signing a contract with the publisher.

State of the evidence

Platform defection and Yamauchi's direct public refusal documented

Legal status — source text

No legal proceedings

The European Commission concluded that Nintendo and its distributors had organised restrictions on exports and parallel imports for years to maintain large price differences between European countries. Nintendo was described as the leader and instigator and received by far the largest fine.

State of the evidence

European Commission infringement finding and court appeal

Legal status — source text

€149.128 million fine imposed jointly on Nintendo entities; subsequent judicial adjustment concerning cooperation

Attribution

Corporate conduct throughout almost the entire period under Yamauchi's presidency; no personal fine

Atari Games/Tengen challenged Nintendo's NES licensing system, particularly limits on the number of games and exclusivity, and attempted to circumvent the 10NES chip. Atari brought antitrust proceedings while Nintendo sued for copyright infringement following the controversial acquisition of code from the Copyright Office.

Legal status — source text

Nintendo obtained important copyright injunctions; Atari's antitrust monopolisation claim failed; dispute settled

Attribution

Corporate licensing policy under Yamauchi's presidency

Nintendo sought to prohibit Galoob's Game Genie, an accessory allowing players to modify certain NES game settings temporarily. The court ruled that these modifications did not create an infringing derivative work and that Galoob was not liable for copyright infringement.

Legal status — source text

Court held that Game Genie did not infringe Nintendo copyrights; Nintendo liable under the injunction bond

Attribution

Corporate enforcement policy under Yamauchi's presidency

Yamauchi led a group of Japanese investors seeking to save the Seattle Mariners and keep the team in Seattle. US baseball officials initially resisted the idea of a Major League Baseball club being controlled by Japanese capital, prompting allegations of discrimination and xenophobia. The structure was modified to leave operational control with Americans.

State of the evidence

Ownership controversy and MLB approval after restructuring documented

Legal status — source text

MLB approved the deal; no wrongdoing

Attribution

Yamauchi as investor and target of opposition to foreign ownership

US authorities accused Nintendo of imposing minimum NES resale prices by threatening to reduce shipments or change credit terms for retailers selling at lower prices. Nintendo agreed to a settlement including up to $25 million in consumer coupons and several million dollars in costs and public payments.

State of the evidence

FTC/state allegations and consent settlement

Legal status — source text

Settlement worth up to $29.75 million, including consumer coupons; Nintendo did not admit a violation

Attribution

Corporate marketing policy under Yamauchi's presidency

Nintendo sued Blockbuster for copying the game manuals supplied with rented cartridges. The case formed part of Nintendo's broader campaign against video game rentals, which Blockbuster saw as an attempt to harass the secondary market.

Legal status — source text

Blockbuster agreed to stop copying Nintendo manuals; the broader rental issue remained

Attribution

Corporate enforcement strategy under Yamauchi's presidency

Universal Studios accused Nintendo of infringing its rights to King Kong through Donkey Kong and threatened licensees and partners. Nintendo refused to concede and won the case: courts found Universal's claims unfounded.

Legal status — source text

Nintendo prevailed; Universal's claims were rejected and Nintendo obtained relief on its counterclaim

Attribution

Corporate litigation under Yamauchi's presidency; favourable outcome

After taking over Nintendo at the age of 22, Yamauchi demanded complete authority and removed several old-guard executives and employees who opposed his leadership, amid a labour dispute and strike. This forceful consolidation of control became central to accounts of his management style.