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It would be a huge hit to Nintendo's bottom line, but they may have to do it. It all depends on how well the 3DS is doing, really. If Nintendo thinks they can still make a profit while taking a loss on the Wii U, then it has a chance of happening.

If I were Iwata, I'd pull the trigger. I'd sell the basic Wii U for $200 with Nintendo Land bundled, and at $250 sell the deluxe with Mario Kart 8 and Nintendo Land bundled.