Gizmondo reports "cashflow issues"
Tiger Telematics, the parent company of the firm
behing the Gizmondo has reported that it has been "experiencing severe financial pressures
(...) as its cash flow has been unable to service the requirements." In layman terms that means the company hasn't
been selling enough Gizmondos. The firm is apparently looking for additional funding "but there can be no assurances that this will be achieved." When the two main investors in Gizmondo (David Warnock and Simon Davies, who provided loans of approximately $21.2 million) still haven't received a return to their investment, it's not surprising to see that the company is having trouble finding new investors. Hopefully these financial problems will motivate the firm to do the only thing that could make the Gizmondo a success: release some games that aren't "uniformly terrible".
[Via digg]
Reader Comments (Page 1 of 1)
Spamalot @ Jan 17th 2006 7:59AM
It's gonna go the way of the Tapwave Zodiac
R.I.P. Tapwave 2005
- Spamamlot
www.squatsquat.com
John @ Jan 17th 2006 8:22AM
Look at the darn thing, its hideous! I don't know why anyone would want to enter the handheld market that Nintendo has such a firm grip on. Look at the PSP for example, they're backed by Sony and the device plays movies, picture, mp3's and all that good stuff and it can't do anything to the Gameboy empire. If Sony can't do it, what were the folks at Gizmondo thinking?
On a lighter note, doesn't the Gizmondo have built in GPS? Maybe when these babies are on clearance for $19.95, I can grab some and use'em for GPS navigation?
Thats if the GPS system in this device is not just for location purposes...hoping there's software for navigation.
Thanks,
John
http://www.deliveryblog.com/
Trevsweb @ Jan 17th 2006 10:25AM
yes theres GPS software for it, uses co-piolet.
shame about the backing of gizmondo, its not ugly when u acctually use them.
damn fanboys lol, (saying that i also have a DS)
Embassy @ Jan 17th 2006 11:38AM
i think the GPS software cost like an additional 200 bucks...which..basically destroys any hope of usability...even for 19.95..
Benz @ Jan 17th 2006 3:44PM
The Gizmondo story is a sad one indeed. Has anyone seen screenshots of any games? Some of the games look really good, just as good as the PSP. Here come the problems: The price tag of $399! Thats way too much money for a handheld and to think an Xbox360 is $349. The PSP's price tag of $249 is already considered to high for a handheld.
The whole concept of merging a navigation system with a handheld gaming system is a bad idea on paper alone. We've already seen two hybrid handhelds fail, Tapwave Zodiac and Nokia N-Gage.
The Gizmondo could have had a chance, but Tiger Telematics played all their cards wrong from the very start. The navigation system, high price tag, lack of good titles, failed promises, poor distribution and marketing, put that all in a mixing bowl and you have total failure. Looks like the Gizmondo will have one of the one of the shortest life spans ever for a console or handheld. If it didn't have the pointless navigation system, had a price tag of $199, and good distribution via Gamestop, EB Games it very well could have had a chance to be successful, not against Nintendo, but against the PSP!