Chapter 193: You Better Have a Good Reason! - Part 2

"Mr. Jones, your ability to grasp the North American gaming industry within two years, I believe, relies on exceptional intellect and astounding creativity, rather than baseless speculation and unfounded guesses, right?"

Ethan chuckled at Minoru Arakawa's rhetorical question, which reminded him of his meeting with Hiroshi Yamauchi last summer.

Ethan admitted that Yamauchi had indeed brought up Magnavox proactively at that time.

Moreover, Yamauchi had expressed his embarrassment to Ethan, realizing only after engaging with Magnavox that there had been contradictions between them, even apologizing for his rashness.

Ethan felt that Yamauchi's success was not unfounded; his interpersonal skills were genuinely effective, filled with sincerity. But now, it seemed...

It was all just a façade, a series of empty gestures. "Mr. Arakawa, your father-in-law, Mr. Yamauchi, is indeed an excellent businessman."

Leaning on the sofa, Ethan smiled, "When he brought up Magnavox in front of me last year, your Nintendo might have already taken on the COLOR TV GAME project, right?"

"Maybe he knew there would be trouble, so he spoke up early to dispel my concerns?"

"Oh—Mr. Jones—" Minoru Arakawa wanted to object.

But Ethan didn't give him the chance.

With a gesture for silence, he continued smiling, "Besides, your demands, agreements, and decisions in our collaboration were all deliberate, right?"

"Take 'Snake' for example. You sold it at a reduced price in the third phase, ostensibly to clear the way for the upcoming 'Pac-Man'. But in reality?"

"The production of 65,000 units had already met our initial agreement. Regardless of any conflicts that arose, Nintendo did not breach the contract on this project."

"'Pac-Man', where you settled a shipment bonus of 10,000 units for both the first and second phases. Initially, Mr. Yamauchi said this was to show their sincerity and Nintendo's friendliness in cooperation. But now, it seems, it was merely fulfilling the contract forcefully."

"When Nintendo had already fulfilled the contract, if I unilaterally breached it, I'd be facing a lawsuit and a breach of contract fine, right? Because whether it's advance bonuses or payment timing, it showed your sincere fulfillment of the contract, and my halt would be considered unfounded speculation, inadmissible in court unless I could prove you were setting me up. But—"

"I don't have such evidence?"

Ethan winked with a smile.

While Minoru Arakawa pursed his lips, silent.

This prompted Ethan to chuckle twice more, then continue, "And the third matter, the chip factory, was supposed to start officially in August, next month, with its first project being 'Pac-Man'."

"But you started early."

"Fearing I would halt everything."

"Once the factory machines began operating, and you officially collaborated with your country's Sharp Electronics, my halt would be seen as unilateral contract breach."

"Without a valid explanation, you weren't obliged to follow my directives, and at MOS Technology, you met their needs without monopolizing the 6502 chip, all to provide the world with affordable chips."

"Right?"

Correct!

When Ethan delved into Nintendo's latest report in the early hours, he realized Yamauchi was indeed cunning. All contracts were traps, cleverly disguised as 'for the client's better interest'.

When these 'good intentions' turned into ruthless schemes, the ultimate truth was glaringly obvious.

Thus, Nintendo's confidence was justified!

And humility? That was merely because Ethan Jones had shown unparalleled creative prowess!

"Mr. Jones, I don't understand what you're saying."

Minoru Arakawa took a deep breath, sighing, "Our cooperation was genuinely normal."

"Really?" Ethan smiled, not waiting for a reply before adding, "I don't believe it."

As Ethan employed a rhetorical self-questioning technique, Minoru Arakawa was left speechless, managing only a forced smile after a brief pause.

"Mr. Jones, as you've said, everything needs evidence."

"My words are the evidence," Ethan replied cheerily.

Such unreasonable rhetoric furrowed Minoru Arakawa's brows.

"Mr. Jones, I don't think you're in the right state to discuss cooperation…"

Finally, Minoru Arakawa burst out, "If you're feeling unwell, I can stay in Palo Alto for a few days until you've recovered before visiting you again…"

"No need," Ethan waved dismissively, "What you need to do now is go back."

"Back to your country."

"Back to Kyoto."

"And tell your father-in-law, Mr. Yamauchi, that I, Ethan Jones, require a satisfactory response."

Minoru Arakawa narrowed his eyes.

Ethan's sudden stern expression made him uncomfortable.

At that moment, he even wanted to ask if Ethan intended to declare

 war.

But he swallowed his words!

His pupils dilated because Ethan said, "You might think me arrogant, but I want to tell you, in this matter, my words are the evidence."

"Your president sought me out last summer because of Magnavox's notification."

"Your president might have intentionally, or unintentionally, collaborated with Magnavox, making me stay in your country for a month."

"I may not know how much you earned from this business, but I know, you owe me a satisfactory response, and I'll give you a week to provide it."

"If your answer still angers me, I'm sorry, but I'll have to remove Nintendo from the gaming industry!"

"And the method is quite simple, right?"

"You're eager to settle 'Pac-Man' early because you want to continue distributing this product after the COLOR TV GAME incident."

"You're eager to have the chip company start production because you want to maintain chip capacity after the COLOR TV GAME incident."

"Fine, I'll accommodate you."

"I won't tear up the contract; you can still sell, and you still owe me royalties."

"But—"

"'Star Wars', you can forget about getting it."

"And next, I'll do just one thing: call George Lucas and tell him I hope 'Star Wars' can be released in your country as soon as possible."

"To coincide with the movie's promotion, I'll license the 'Star Wars' game to Fox for overseas distribution, letting them sell the consoles in your country's cinemas."

"I've always been curious whether 'Pac-Man' or 'Star Wars' is the superior game. I never had the chance to test this, but now, isn't the opportunity here?"

"You want to profit from 'Pac-Man'?"

"Fine, I'll accommodate you."

Ethan is no fool! He wouldn't actively destroy his cooperation with Nintendo!

Because there was no evidence for the previous incidents!

But that doesn't matter, does it?

When Nintendo desperately fulfilled the contract early, desperately using hefty penalties and lawsuits to protect the game and chip distribution rights, they had already exposed their vulnerability!

Now, they're more eager than anyone to continue profiting from the booming games era!

In this situation, handling becomes even simpler, right?

You Nintendo want to make money, you Nintendo want to make games, right?

Fine!

I'll satisfy you!

And at the same time, I'll sell 'Star Wars' in your market!

In my previous life, when the Millennium Falcon flew over your island country, even the unendorsed 'Space Invaders' sold out. Now, with the official 'Star Wars'...

You Nintendo are selling 'Pac-Man' to me!

I'll crush you for sure!

Most importantly, when 'Star Wars' lands in your country, whether 'Pac-Man' explodes or not, it doesn't matter to me because I get paid per unit!

Nintendo even signed a minimum guarantee!

If 'Star Wars' sells well, I make money!

If 'Pac-Man' continues to sell out, you Nintendo still owe me money!

And as the market for games becomes more divided, Nintendo, able to open its own arcades, will inevitably earn less!

Yes—

Ethan remembered visiting Japan last year, when Yamauchi introduced him to the arcades.

The beauty of making machines and earning coins firsthand! Back then, he was envious. Now, well...

Heh!

"Mr. Jones—you—" Realizing all this, Minoru Arakawa became anxious for the first time.

He wanted to say something, but Ethan stopped him with a smile.

"Mr. Arakawa, one last word for you."

"When we Americans think you have something, you better have it."

"Otherwise, you'll be at a loss~"

With these words, Ethan rose, patted the young man on the shoulder, and left without a second glance.

Note: 

1. The HP-35 was the most impressive calculator of its time, dominating the market upon its release. Before personal computers became widespread, the HP-65 was considered a personal computer by many, even used by NASA in space missions. 

2. For Japan, the calculator wars might have ended in the '80s because Casio introduced a game-changing calculator and electronic game product in the early '80s. However, for America, the calculator wars ended in 1975 with the advent of Altair, signaling the start of the personal computer wars. This narrative adopts the American perspective.