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Yakuzaice said:
curl-6 said:

The standard Wii has dropped drastically in price since launch. So have PS3, 360, and before that Gamecube, PS2...

Hell, Premium Wii U itself has already dropped by $50.

It really hasn't.  It's still 52% of the price it launched at.  The Wii was sold with a big profit margin from the very start (estimates of a ~$160 BOM).  It is very unlikely that the margins stayed the same, there is pretty much no way the manufacturing cost is down to $40.  The disc drive, power supply, and manufacturing costs are probably similar or potentially higher than they were in 2006.  Shipping costs have also likely increased.

The Premium Wii U is 32GB of flash memory, games, and some plastic stands.  While they add value, they add very little in terms of cost.  It's probably more telling that they haven't gone below $299 yet.

http://news.softpedia.com/news/Production-Costs-for-the-Nintendo-Wii-Have-Fallen-by-45-109014.shtml

Wii production costs down 45% from launch as of early 2009.