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Spedfrom said:
I don't think it proves it, since Sony has showed with the PS2 that the razorblade tactic can work out nicely.

What it proves, and it is quite obvious, is that a profit-from-the-beginning model is very healthy for the company, specially if the console takes flight, like the Wii. However, Nintendo also had profits with the Gamecube, a console that I owned and really liked, but was never much of a seller.

this is a wrong misunderstanding.

nintendo made profits, but that includes software sales, and very profitable sales of the GBA.

nintendo didn't have the engineering power of sony to create a expensive console, so decide to change to a new market.

the gamecube was sold 99$ i don't see that bringing huge profits.