Nintendo plans to expand its R&D budget in 2005

Research and development spending at Nintendo will top 22 billion Yen (163 million Euro) this year, according to a report in the Japanese business press, with the company also planning to boost capital and marketing spend.

Increased software development for the recently launched Nintendo DS handheld system and this year's expected unveiling of the Nintendo Revolution next-generation platform are likely to be the biggest recipients of the R&D money.

The 22 billion Yen figure is an increase of 39 per cent on last year's sum, and Nintendo also plans to increase its capital spending in the coming year by 76 per cent to 4 billion Yen (30 million Euro), with some of that being earmarked for increasing DS production.

The DS also features heavily in the firm's marketing plans, with spend on advertising likely to rise this year as the company promotes the new console heavily, according to the Nikkei Financial Daily, which reported the figures.

In a related story, Nintendo president Satoru Iwata had a few words for another Japanese newspaper, Kyoto Shimbun, on the topic of its new platforms - although it was very few words, with Iwata telling the paper that the objective with Nintendo Revolution is to create a "paradigm shift in gameplay", while the key watchword for Nintendo DS is "heterogeneity" or "difference".