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I do think it is profitable off the bat. Profit margins should be slightly lower than the 3DS XL, but profitable nonetheless. The 2DS will not release in Japan or be announced as price is not the factor. Nintendo has the momentum in Japan. As a result, there is no need to offer a less profitable handheld. Momentum is needed in the Western Markets hence a lower price handheld. Nintendo is able to release such a product because of favorable exchange rates.