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Forums - Nintendo Discussion - Why Nintendo is losing money on each Wii U launch unit

I don't think this author realizes that the sales projections for hardware and software are retail figures, not consumer figures. Nintendo doesn't need to consumers to actually buy 4.4 units of software in that time period to hit their projections so long as there are that many units on store shelves, in transit, etc...



The rEVOLution is not being televised

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"3DS drastically cut the system's price just three months after launch to help slower-than-expected sales. "

no, just no
get the facts before posting shitty articles...not you Ryan ;)



More than why I'm more interested in how much they are losing. I saw in another thread that the GC was sold at a $9 loss...I can't imagine the Wii U being sold with a loss higher than that, but times have changed. 



Nintendo and PC gamer

I doubt Nintendo will be losing a lot per console. Does it expand on the $349 model?



e=mc^2

Gaming on: PS4 Pro, Switch, SNES Mini, Wii U, PC (i5-7400, GTX 1060)

They did the right decision, I guess. But making such a pricy controller like the GamePad seems wrong. You know, they could've made it less complex and invested a little more on power and online structure.



We need moar Zelda, now!

We need moar Unchartedzz!

We need less DLCs.

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Wow...just wow.

4.4 Attach Rate? There is no way in HELL this gets anywhere near that out of the gate.

I see a ton of people buying this on gimmick factor only. I saw one at Walmart yesterday and I have to say that it's neat but I can see a casual gamer getting confused about the controller. Weird comment I know but like someone said previously...I think they should have spent the money on beefing up the backend of the WiiU, not trying to hyper-invent the front end. I don't see the new controller making it easier to play games and it was pretty big. Felt like I was holding a brick in my hands(although not that heavy of course).

Sometimes there are times with technology where people go "ummm why?".



samuship said:
They did the right decision, I guess. But making such a pricy controller like the GamePad seems wrong. You know, they could've made it less complex and invested a little more on power and online structure.

I think they did the right thing. What could they have cut back on? Just about everything in the wii u pad makes sense and is needed. Maybe not the Sky Lancer like reader, but everything else. The system has enough power because I really doubt that the PS4 and 720 will be much more powerful than the U. There just isn't much reason to make them that powerful. 



spurgeonryan said:
Solid-Stark said:
I doubt Nintendo will be losing a lot per console. Does it expand on the $349 model?


I cannot believe that they are losing money with 349 dollars!  A console that is a bit bigger than the wii and a bit stronger. A game pad which cost 40 bucks to make probably, packaging, transportation, and a game.

The Yen is the problem.   It's too strong.   The Japanese prices carried over to the USD should be $326 (basic) and $392 (premium).

Psyberius said:

Wow...just wow.

4.4 Attach Rate? There is no way in HELL this gets anywhere near that out of the gate.

Keep in mind that Nintendo sells hardware and software to retailers, distributers, etc....  Those projection figures refer to those sales, not consumer sales.  Consumers can buy far less but so long as retailers, distributers, etc...have ordered that many, they meet their target.



The rEVOLution is not being televised

The problem is that the Wii U will lose money indefinitely. Nintendo gave no indication on when the system will not be sold at a loss, which is odd because they were able to project when the 3DS would turn from a loss with a 33% cut to the system, strong yen and all. (actually the yen is little changed from 1 year ago).



Well I am a bit worried but since (I think) they're not going to be losing so much $, I don't think it's going to hurt them that hard financially like with the Sony and MS. Their best friend right now is Moore's law; and if it wasn't for that law, (IMO) the 3DS would've still been in the red.

Hopefully well after their first 18 months, the Wii U would finaly start making money.