9-Nintento
By William Lebovics · 2026-08-13

Nintendo is older than the airplane, the radio broadcast, and the state of Arizona. Fusajiro Yamauchi founded it in Kyoto in 1889 to manufacture hanafuda — hand-painted playing cards. For seventy years, that is what Nintendo was: a regional Japanese card company, well run and thoroughly unremarkable.
The interesting part begins in 1949, when Hiroshi Yamauchi took over the family business at twenty-two and spent the next two decades trying to escape it. He understood that playing cards were a shrinking business, so he went looking for a bigger one — with a run of failures that reads like a comedy sketch.
Nintendo launched a taxi company. It did well until labor disputes made it unattractive, and Yamauchi sold. Nintendo ran a chain of “love hotels” — short-stay hotels rented by the hour. Nintendo sold instant rice, competing with an established food industry it knew nothing about. Nintendo made a vacuum cleaner, the Chiritory. Nintendo ran a taxi service, a TV network venture, and a food business, roughly simultaneously, none successfully. By the late 1960s the company had burned through most of its capital chasing industries it had no advantage in.
Then Yamauchi noticed something inside his own factory.
Gunpei Yokoi was a maintenance engineer on the card assembly line — hired to keep the machines running, not to design anything. In his spare time he had built an extending mechanical arm for his own amusement. Yamauchi saw it, recognized it as a toy, and put it into production. The Ultra Hand shipped in 1966 and sold well over a million units.
That is the moment Nintendo becomes Nintendo. Not because of the toy, but because of what it revealed: the company’s actual asset was neither playing cards nor hotels nor rice. It was a distribution relationship with Japanese toy retailers, a manufacturing culture, and — as it turned out — a genius sitting on the maintenance staff.
Yokoi was moved into product development and spent the next thirty years defining the company. He created the Game & Watch handhelds, invented the D-pad, designed the Game Boy, and mentored a young artist named Shigeru Miyamoto. Yokoi’s design philosophy — “lateral thinking with withered technology,” meaning use cheap, mature, well-understood components in a novel way rather than chasing the frontier — became Nintendo’s strategic signature, and explains the Game Boy beating technically superior rivals and, decades later, the Wii.
The Famicom launched in Japan in 1983 and arrived in America as the NES in 1985, resurrecting a video game industry that had collapsed two years earlier. Nintendo, a hundred-year-old playing card manufacturer, became the definitive company of an art form that did not exist when it was founded.
What makes this the deepest case in the series is the sheer duration. Nintendo spent seventy-seven years before the Ultra Hand and ninety-four before the Famicom. Its pivot was not a clever quarter — it was decades of failure across taxis, hotels, rice, a