Does the Wii prove that the HD razor/blade model is flawed?

[MaxwellGT2000]

Xoj said:

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.

Hrm apparently my post didn't appear. 

http://www.vgchartz.com/forum/thread.php?id=57802

Look at the numbers, even being a better seller than GC and GBA on some periods, then eventually outselling both combined

http://vgchartz.com/hwlaunch.php?cons1=GBA&reg1=All&cons2=PS2&reg2=All&cons3=GC&reg3=All&weeks=330

Nintendo still had better returns despite things like the higher production costs of the carts for the GBA. 

Their R&D department is pretty extensive I have no idea where you're getting your claim from, they have a partnership with IBM which is probably one of the best partners you could ever have... these guys have been in the business of making game consoles longer than anyone else still around today, to say they can't design a console with a lot of power all of a sudden is simply ludacris.