We already know Pokemon Go’s success is about as big as any augmented-reality and mobile-app spinoff is ever likely to get. To further rain on Pokemon Go’s parade, investors need also to understand that a hit game does not a windfall profit make. Pokemon itself is owned by The Pokemon Co., of which Nintendo only owns 32%, and The Pokemon Co. gets a licensing fee and “compensation for collaboration” in developing Pokemon Go. Nintendo’s Pokemon Go profits are about as real as Pikachu. So any earnings from Pokemon Go make their way to The Pokemon Co. through a filtered process, details of which aren’t public.

Source: Mint July 25, 2016 15:11 UTC