| Ail said: Margins are lower on old gen games than on new gen as the average price per game ( and as a resulting the licencing profit) goes down as a gen gets older...( maybe development costs offset this but only for first party games, for third party, the lower the price of a game, the lower Nintendo's cut..) As for the hardware, Nintendo typically does a good job selling new hardware at a profit... |
You also forget, software ASPs dropping are something Nintendo's actively (and arguably successfully) combated this generation. I don't think you can really apply the notion of cheapo late gen PS1/PS2 games to Wii. Plus it's not like GBA ASPs suddenly dropped $10 in 2005/2006/2007.
And again, I'll ask what significant benefit does it give to Nintendo to cut Wii off at the knees?
