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Thunderbird77 said:

They didn't happily cost the 3ds price and the 3ds was sold at a big profit margin at $250. They went from big profit at $250 to small loss at $170. The Wii U was already sold at a loss at launch, they couldn't make such a drastic cut early on without hemorraging money.



They did cut the price because the realized the possible problems it could face, they could have easily cut it to a price where they still made profit but instead dropped it to where it was sold at manufacturing price. The Wii U was sold at a tiny loss, Reggie even said a Wii U owner only needs to buy 1 game to make that sale profitable, they can very well have dropped the price and made up losses with software sold, the platform became profitable with each unit sold in 2014.