Not only was Spangenberg increasingly absent, the way he ran his company and his extracurricular activities didn’t exactly match with Nintendo’s family-friendly image, specifically a website he had been running in his spare time called “Sinful Summer,” full of pictures from pool parties at Spangenberg’s house with scantily clad women.
“They were all dated, a lot of the pictures had strippers from the local strip club called ‘The Yellow Rose,’ some employees, a lot of friends. A lot of the pool parties were on weekdays,” Mathews recalls.
In
2004, an IGN report claimed employees ran pornographic websites from Retro’s office. According to developers we talked to, these stories were likely embellished versions of the Sinful Summer controversy —
which Spangenberg hosted from Retro’s IP address. “Basically this was the thing that cemented the end for him, because once Nintendo caught wind of this, that’s when it was pretty much done,” Mathews says.