 So Nintendo's stock value the price of their stock has risen 7% basically overnight and This has caused Nintendo's share values to reach 9 year high to put it in perspective They have not had a share value this high since 2008 yes 2008 which is right in the heart of the we in DS era now It's not hitting that the peaks in 2008 right they had a share value peak of about $80 per share This was more so on the downtrend from the we era, but considering that Nintendo's been on the uptick ever since the switch released has Really led to some interesting insight into why they suddenly have an overnight 7% jump and Some thought well, maybe this is response to Sony who might not have had the greatest showing at the Tokyo game show Because last night they had their press conference at Tokyo game show and they didn't really have any Quote-unquote major announcements. I mean there were some nice announcements, but nothing that was earth-shattering Really gonna move the needle in the gaming industry But I don't actually think that's the case in fact The Wall Street Journal did a piece breaking it down and yes, it's behind a paywall So chances are unless you're subscribed to Wall Street Journal You can't read it, but it sounds like the 7% jump is actually due to investors Hope of Nintendo success in China now. We know that Nintendo is now able to sell their products in China So it's not like this is necessarily new news But what happened is there was a little game announced in the Nintendo Direct that the news finally trickled to developers Called arena of valor seems like you know your standard MOBA game not a huge deal There's tons of MOBA games out there in the United States legal legends as kind of the king and then there's a bunch of other MOBA games built around that and Irina of valor turns out it's made by a company called 10 cent So let me just get into this report. Okay, but before I dive further because I don't want to get these details wrong I'm reading this report off nintendolife.com who has access to the Wall Street Journal editorial. Here's what they say Winner arena of valor was announced for the switch in last week's direct We think it's fair to say that a number of reading a number of people reading these pages simply shrugged a free-to-play MOBA That made its name on the mobile Market heading to the switch as a beta this year It arguably wasn't among the biggest announcements in the broadcast from a fans perspective However in terms of share value investors and and a potential saw this is really weirdly worded However in terms of a share value investors and a potential impact. Yeah, this is weird Investors saw a potential impact on the potential Nintendo's future business. It was Comfortably the most significant announcement. We looked at Nintendo share value today and saw it climbed a whopping 7.06 percent to 40,950 yen When the market closed in Tokyo that is the highest it's been in nine years Which is a rad rather extraordinary statistic the share value has been trending high all year But the image from the past month shows an idea of the spike itself and now throw that an image up The reason arena of valor matters is it's published by 10 cent and arena of valor is actually the most popular game on smart devices in China Except there it's called honor of kings According to some metrics and estimates It was the top grossing game in China during the second quarter of this year in the analysis on the Wall Street Journal This is highlighted as a potential starting point that could see Nintendo and 10 cent work together on the Chinese market This could mean Nintendo publishing smart device games in China and perhaps releasing the switch itself in the country With the Wall Street Journal signing people familiar with the thinking of Nintendo and 10 cent executives Though Sony and Microsoft have taken their systems to China with limited success the portable and tablet form of the switch Could favor it in the smart device focused Chinese market the announcement arena of alpha switch It's also seen as a move by 10 cent to boost its presence in the West It's the possibility of Nintendo's smart device apps like Super Mario run and fire on my heroes in China that has investors buzzing however Though it's a tough market to penetrate the revenues that success can bring in China could be a huge boost to Nintendo It's worth noting that Nintendo has released systems in China before with the IQ brand These have included plug-and-play Nintendo 64 various portable devices like DS and 3ds They've all been limited devices only a small number of games included Blah blah blah blah blah so Nintendo's looking to get the switch out in China and They're partnering with 10 cent which is awesome like really good for them in China 10 cents huge in China It is a very interesting prospect that For all of the Success of the switch right this seven percent jump them reaching a nine-year high Has really nothing to do with the success of the switch at all It has to do with Nintendo's potential to penetrate the Chinese market with both the switch and their own mobile games it's Chinese markets huge right like China makes up a massive percentage of the world's population and Because of the laws they've had in place for a long time It has been really hard to release any sort of gaming platforms there now the laws have relaxed a little bit So now Nintendo has a chance to release, you know, they're they're self-branded Nintendo switch So it'll be interesting to see if that takes off It might even help the fact that Nintendo switch will have a version of you know honor of Kings aka arena of Valor On the system itself. I'm assuming that would be available in China as well I don't know why it's available on phones. I assume it would be available on switch That could help push sales plus as I know if they can get super mario ron fire alum heroes Pokemon go or any of their other Games they make money off of on the mobile side over on devices in China is sure to explode because it's not like Despite the fact that Nintendo hasn't been able to really Release a lot of their consoles and games there in a traditional sense for a long long long time maybe even ever A lot of people in China are still aware of who Mario is In all that stuff so Mario is really a good start to really you know super mario run to get their brand there It's just really interesting that Just jump Which usually happens when there's a major announcement right when you're talking about You know things like there's a new system coming or a brand new massive mobile game coming another Pokemon Go like game is coming instead This is just well. Nintendo is trying to penetrate and they're working with Tencent like that's it. There's no There's no plan of action right Nintendo doesn't have an in some people thought that maybe this seven percent jump was on the heels of the last video we did where the new the new analytical projections out there have the switch selling a hundred and thirty million units by 2022 which is just still crazy to me that's even a thing But that's actually not why this percentage jumped overnight It had nothing to do with the new predictions it has to do with Nintendo's Opportunity in China and for Nintendo's sake obviously they're a multi-billion dollar company So whether or not they're successful in China doesn't really matter to me personally Obviously if you are a Nintendo stock owner or you bought into the Nintendo stock when it was you know Really dipping hard at the beginning of the Wii U era I think that You should be happy by the prospects of success in China because if they do have success in China We could start seeing we like levels of you know, we in DS I should say like levels of stock value There are some people that I saw a Neil got that said they bought in it for Nintendo around 20 bucks a few years back And now you know it's up to $40 and if it hits that $80 high again, like that's definitely a sell sell sell Maximize your profits etc It's it's a really interesting market. I personally don't own any Nintendo stock So this doesn't matter much to me, but I understand that it matters to a lot of people. So Yeah, there you go. I you know, it's good for Nintendo. I'm glad that Nintendo is doing well Obviously, I'll always be happy that Nintendo does well, but honestly Them advancing in a market that has no impact on us in the West Doesn't really matter that much to me. Just just throwing that out there anyways Congrats Nintendo and Yeah, here's to your you know in endearing in enduring and forever success I am the thinner of a chance from Nintendo Prime if you like this video You know what to do If you dislike the video hit that dislike button subscribe for more and I'll catch you guys in the next one