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TVTranscript
00:02They saw a trend.
00:04There were arcades popping up all over the country.
00:07They seized an opportunity.
00:09They could put multiple games in one cabinet and make more money off of that one cabinet.
00:14That was a tremendous leap forward in the arcade business.
00:19And pushed the envelope.
00:22Another ad was an ad where I had a picture of two steel balls on one side.
00:26There was text that said, you need a set of these to play one of these.
00:32And that caused a lot of controversy.
00:35Neo Geo was just light years beyond what any other console could do.
00:39They took their licks.
00:41Odyssey decided to pull the plug on them.
00:45They killed SNK 2000.
00:48But kept coming back for more.
00:53What we have done was to re-launch SNK.
00:56This is the story of the life, death, and resurrection of SNK.
01:04I feel the new materia because of that one.
01:25You have to say so many characters fall in one side.
01:28What do you know?
01:29You have to call thezeń-이야- grandsons?
01:34popping up all over the country and in the morning when the arcades would open there'd be lines of
01:40people trying to get in to play pac-man or space invaders it was a great time to get involved
01:48in
01:48this in this industry a man named ekichi kawasaki forms a new company called snk the company was
01:55actually founded i believe in 1978 snk stands for shin nihon kikaku shin is new nihon of course is
02:05japan and kikaku project the osaka-based company wastes no time getting into the arcade business
02:13and releases osmo wars in 1979 safari rally is released in 1980 and the company makes a splash
02:20with vanguard in 1981 vanguard was the space shooting game it was very popular it was probably
02:27our second or third game that we published in the u.s for the arcade snk survives the crash of
02:33the
02:33arcade in the early 80s and by 1986 it has a lineup of 23 arcade games including mad crasher
02:44and ikari warriors the setting is a jungle where a plane has crashed
02:52and the objective of the game is to defeat the gorillas while trying to escape unharmed
02:57ikari warriors was really popular for a couple of reasons the controller was very unique it was an
03:03eight-way joystick but it also had the ability to to rotate 360 degrees it had a 360 degree rotation
03:13as well as the eight-way capabilities and nothing like that had ever been seen before people loved
03:18it it's a great game at that time rambo was very popular and i was told to change the character
03:25to
03:26rambo so i had to make the upper half of the body naked and change it to a rambo-like
03:30character
03:31meanwhile the release of the nintendo entertainment system in 1985 jumpstarts the home market
03:38nintendo came out with their first home system and that just blew everybody away
03:47people were really hungry for video game content and to be able to have in the home at that time
03:53with
03:53the 8-bit system was just terrific snk wastes no time we were one of the first
04:00ten licensees from the nintendo nes system one of its first console titles is also one of its
04:05most innovative baseball stars was really good the traction of baseball stars was that you can
04:10actually make your own characters in the game this is the first baseball game that you can do that
04:15there was something special about the cartridge itself in that there was a battery which was
04:19installed in a cartridge that allowed you to actually trade players make changes to your roster
04:28that was very unique at the time of the nes age
04:37arcade hits such as ikari warriors are also ported to the nes and to help gamers make it through the
04:43game a secret code is included ikari warriors was a long game there was a lot of content a lot
04:50of levels
04:51to get through if you were two-thirds of the way through the game you lost your life in the
04:58japanese
04:59version you went back to the very beginning we asked if we could simply die at that spot and then
05:06recycle to that same location and pick up at the same place so with a code you could do just
05:12that
05:12abba that was one of the first sort of really cheesy continue codes in fact some people would argue the
05:17only way you could complete the game was by getting abba to jump back in with another set of credits
05:22when
05:23you died for the next three years snk continues making games such as ikari warriors 2 and cristalis
05:34but the next generation of game consoles is just around the corner and with some help from snk
05:39the line between home systems and arcades will be blurred forever
05:51by 1989 snk is an established game company with a slew of arcade hits and a successful transition to
05:58the console market but their next project isn't just a new game it's a whole new approach to arcade
06:04machines called the neo geo multi-video system the company had a tremendous opportunity when it
06:17developed the neo geo arcade system which essentially said on this piece of real estate in an operator's
06:22studio they could have a two or four multiple game unit making money on one piece of real estate and
06:29that was a tremendous leap forward in the arcade business operators could save money only having
06:36to buy games they didn't have to buy an entirely new piece of hardware for every new game they could
06:41put multiple games in one cabinet make more money off of that one cabinet
06:48even as the era of 16-bit console emerges snk has something much more powerful in mind
06:54at that time we had super nintendo beginning we had sega genesis who had entered the market we looked
07:00at the total landscape and we still felt that there might be a place for a exclusive special item
07:05that brought the total arcade experience home the concept of the neo geo was to be able to play the
07:12same game software on both the arcade machine and the consumer hardware in addition with the changeable
07:18memory cards there was the ability to connect between the arcade game and the consumer game
07:23with the joysticks we made it very much like the arcade joysticks it's almost as if you're bringing
07:27the arcade home to the family we made a product that no other manufacturer had
07:35snk releases the neo geo advanced entertainment system in 1991. the powerful new console has a price
07:42tag of 599 dollars 400 more than current offerings from nintendo and sega the neo geo home system was
07:49incredible system other companies say nintendo nec they had systems that were obviously made for the
07:55consumer market mass and k just went the other route they just made an arcade system it's got the same
08:01chips the same insides the same graphics the same sounds that you would see in the arcade version it
08:09wasn't mass market and we weren't going to try to make it mass market we never looked at it as
08:15let's get a 50 market share and beat nintendo we just said let's bring the arcade game home
08:21snk i think believed that they could sell a premium product at a premium price and make money doing
08:27that because you know at the time the neo geo was just light years beyond what any other console could
08:34do it was a truly arcade perfect experience in the home just absolutely no difference but the downside was
08:39it had the price tag to boot to market the aes s and k starts an aggressive advertising campaign
08:45and goes after the competition neo geo was a very expensive system it was 600 for the machine it's
08:53250 for the cartridges it was obviously too high for anybody to afford kent russell who was the vp
08:59of marketing at the time knew that you know straightforward marketing just wasn't going to work so
09:03what he did is he came up with a very controversial ad campaign and just went after everybody some of
09:10our advertising back then got criticized or at least it was definitely you know provocative and you
09:15know for his time and one of his first ads which is pretty famous or infamous even is the weenie
09:22ad
09:22where he calls everybody a weenie if they played the super nintendo or the sega or anything you know
09:27he said why play with those limp systems be a hot dog like the neo geo because we knew our
09:32engine was stronger
09:34it was the most powerful engine available and we wanted to advertise that so the advertising really
09:39was do you want a weak system or you want the strongest it was bigger better like the big dog
09:44another ad later was an ad where he had a picture of two steel balls on one side and on
09:51top of the
09:51steel balls there was texas said you need a set of these to play one of these and that caused
09:58a lot
09:58of controversy and that's what he wanted to do so he wasn't necessarily considered very classy but he
10:04got done what he wanted to do with their powerful new system out in stores and in arcades snk leads
10:10their fate in the hands of gamers
10:20by 1991 snk's neo geo mvs and aes systems are in arcades and video game stores across the world
10:27snk is banking on the idea of bringing the arcade experience home with its roster of games the
10:32earliest games were a mix of sports and action titles baseball stars was actually quite a cult hit
10:38it's a baseball game then later on you had a lot of uh fairly mediocre uh side-scrolling shooters and
10:45action games
10:49cyber lit
10:52magician lord that was a good side-scrolling action platformer
10:58luckily for snk the coin-op business experiences a rebirth
11:03thanks to the success of capcom's street fighter 2
11:08the street fighter 2 came in the early 90s and defined the duty fighting genre and you saw a lot
11:13of uh other publishers and developers sort of hopping on board snk became you know certainly the most
11:19successful company to follow in the footsteps the first game was fatal fury it was the first kind
11:28of one-on-one fighting game that we had for the neo shield had very good success
11:37art of fighting was their second fighting series
11:41round one art of fighting was the first 2d fighting game to feature a scaling perspective
11:46the camera such as it was would move back and forth to accommodate either close-ups on really really
11:51huge character sprites or a view of a really big background
11:58samurai showdown came out and that was really the game that just took over everything
12:06it put snk on the map
12:14one factor contributing to the success of samurai shodhana was the one-on-one fighting
12:18and the setting was not present day but it was way back in samurai days
12:29the king of fighters was a great idea it took all of snk's intellectual properties like from
12:34snk's past and put them all into one game and it also created a new fighting system where you would
12:40pick three characters and you would fight them
12:46each separately on a team and one after another until each of them died off and then whoever would
12:51have the last guy standing would be the winner
13:00it's no surprise that kepcom the creator of the street fighter series
13:04and snk become rivals i would say we were friendly competitors
13:11capcom is of course famous for uh if you ever played the street fighter alpha series or the
13:15capcom versus series there's a a sort of cool favorite character dan the dan hibiki the sort of
13:21goofy spin-off of ken and ryu he was created as a sort of joke or rib by capcom on
13:28the fact that
13:29snk had you know essentially sort of knocked off street fighter 2 to create its first fighting games
13:34we have so many good games coming out that we're really trying to take over the throne from capcom
13:38and the big joke of course is that dan is the absolute weakest chromiest character in the game he's
13:44totally useless and the funny thing about dan is that he created his own sort of cult among capcom fans
13:49who got a kick out of uh playing the weakest character in the game and you know proving that
13:53i'm good enough to beat you even with the lousers character in this game
13:58while its rivalry with capcom boils over in arcades snk looks to revamp the neo geo aes to improve
14:06lagging sales neo geo cd was developed two years after the aes system had been brought home aes system
14:13was wonderful even though it was expensive the cartridges which were basically 200 and then 250
14:19costs it was just restricted the neo geo cd was an attempt to solve the achilles heel of the neo
14:25geo
14:26which is the fact that the games cost you know 300 odd dollars the neo geo cd was a c
14:31-based version
14:31of the neo geo aes the problem with the cd was it was slow it used single speed c-round
14:37drive even
14:38slower than the hill speed drives in your playstation and saturn the games were afflicted with pretty
14:44much the worst load times in the history of gaming despite promising sales in japan where 25 000
14:53units are sold in its first day in stores the neo geo cd is a disaster in the u.s
15:01the cd was a nobly intentioned abject failure
15:05in 1997 s&k releases the hyper neo geo 64 advanced arcade unit but the system fails
15:12s&k's dwindling profits are now coming solely from arcade games such as metal slow
15:18and the king of fighters in a bold bid to reclaim their losses s&k will take on the king
15:25of a handheld
15:35market
15:36it's 1998 s&k is still reeling from poor sales of the neo geo aes the disastrous launch of the
15:43neo geo cd
15:44and the failure of the hyper neo geo 64. but that doesn't stop them from taking on nintendo in the
15:51handheld market s&k had a shot s&k had pretty solid software support for the neo geo pocket color
15:56they managed to get some pretty good third party games at the very beginning from the neo geo pocket
16:01color my goal my plan for the company was to get a 10 percent market share at our peak
16:08now admit the numbers may seem small but we got to be two percent of the market the system fails
16:14in japan only 10 000 units are sold in the end you know the game boy just proved insurmountable at
16:20the
16:20same time the arcade business takes a hit there was steady decline in arcades worldwide throughout the
16:2590s simply because of the popularity of console gaming by 1999 s&k is in the red the company is
16:33eventually sold to a japanese pachinko company named aruze
16:36one year later s&k is a shadow of its former self
16:41the few titles it develops are rushed and unpolished s&k under their their stewardship puttered
16:46around with its later arcade games but not all the news is bad round one that same year capcom versus
16:54s&k is released s&k versus capcom well with s&k's characters versus capcom characters up to now capcom
17:03had
17:03street fighter and we had king of fighters we took these both to make a 2d fighting game what kind
17:09of fighting game could two rival companies make together it was like a dream match come true
17:15unfortunately the majority of the profits for the game go to capcom
17:20eventually aruze puts s&k into bankruptcy odyssey decided to pull the plug on them
17:26they uh they killed s&k in 2000. by october 22nd 2001 s&k no longer exists
17:33but the company doesn't stay down for long our chairman from day one mr kawasaki it's really his
17:38company when he had the opportunity to get out he opened playmore now he couldn't use the s&k name
17:45so the company he created was playmore unfortunately the former s&k went into bankruptcy in october 2001
17:52but we were lucky that s&k playmore could obtain the ips for the original s&k properties so today
17:58here we are
17:58they purchased the ip properties of the former s&k so what they did about two years later was to
18:05rename the company s&k playmore so essentially they created a new s&k and its legendary family of games
18:11lives on
18:26they still have that cult following that we'll keep following them as long as they keep making the
18:31games that are their signature in the future of course we aim to have new platforms for the king of
18:37fighter projects for example maximum impact is out on the home consoles the king of fighters series
18:46has made the transition into 3d naturally i think that here on out it's our duty to evolve our products
18:53so that's the direction i think we'll go if our fans demand it we'll revive any of the s&k
18:58series
18:58rather than the revival however we would make a renewal
19:06we wanted to see how king of fighters would look in 3d and that was the start of it it
19:11wasn't that
19:11the market was demanding that we change to 3d or anything like that and for the most part when we're
19:16making 3d visuals it's better suited for the consumer market rather than the arcades so we made it
19:21specifically for maximum impact on ps2 we'll be bringing svc chaos which is s&k versus capcom
19:31to the xbox and it will be fully live from now on we'll continue the sequels and also make original
19:37titles and while the company is at the tail end of a wild ride there is no denying its impact
19:43on
19:43gaming history boy do they have a huge following i mean even to this day underdogs definitely draw their
19:50sort of cult following i mean on ebay they the some of the old cartridges which we sold originally
19:55for 200 is going you know for thousands of dollars not to underestimate the fact that they were really
20:02a force for technological and economic innovation in the arcades for me when you say s&k the first
20:11thing that comes to mind is not a particular game title per se but an image that this is the
20:15only company
20:16that can offer hardcore games
20:28the hottest gear
20:34the latest gadgets
20:38all the things you need
20:42and some you might not join diane missota's filter gets the low down on all the high tech
20:48of the consumer electronics show tomorrow night at 10
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