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Well, they do care about the install base but there comes a point where you know that the product u put out is basically a "failure" at its current state and you essentially have two options: Either spend a shit ton of money trying to cater to the people that probably don't want it by paying a ton of money for third party games and taking a loss on the hardware by having another price drop, or cut your losses, make the fans happy, try to make as much money as you can and learn your lessons for the next time around and I believe Nintendo chose the second one!

In order to make the wiiU pleasing to people, I highly doubt a price cut is enough. Sure, it will sell a few 100k more consoles but without third party support, a lot of people still wouldn't get one imo. So, if they want third party support, they have to pay them a lot of money and if Nintendo pays one, the rest would be like, well, I want money too so Nintendo essentially has to pay them all but then you have the hardware limitation so even if Nintendo were to pay them all, it would still be the inferior version out of the 3.

So instead, I think they made the right choice. They bearly made profit last quarter with the super low sales of the wiiU and the low YoY sales of the 3ds so in theory, this holiday, when the sales for both platforms will be very high, they should make a lot of money in their next financial report! They are keeping the fans happy by giving them the games they want and they are making sure that for those who bought the wiiU for Nintendo games, that they will be happy by the time their next console launches. And with the money they will make now, they will hopefully, make sure that they don't repeat the issues of the wiiU and as a result, has the potencial to have a large install base, if done right!



                  

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