pezus said:
Where did you get the 65% number? I'll assume it's true. Them dropping hardware development would decrease their revenue while potential for much higher software sales, as well as the reduced cost due to R&D, marketing etc. would increase their revenue. Besides, using percentages can be misleading. In WiiU's case, the hardware sales representing 65% of its revenue is still very little money. |
From their financials.
Like I said in my previous post, they would be losing royalties, sales from hardware and they would get less money per game sold. I highly doubt they would recover all that revenue lost. Also, I agree with you, it would reduce the overall cost. However, not nearly enough to recoup all that profit that they could be potentially making. Unless they downsize considerably.
Put it that way, Nintendo would have way less potential profits by only publishing games then by selling hardware+ selling games. Obviously, as I said multiple times, the situation of the wiiU is not ideal (assuming it stays at that level base for the reminder of it's life time). However, completely quitting hardware would be a dumb decision. Also, i'd like to point out that publishing Nintendo games on other people consoles would hurt their handheld business aswell.
Too many cons vs so few pros.
Predictions for LT console sales:
PS4: 120M
XB1: 70M
WiiU: 14M
3DS: 60M
Vita: 13M