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I think if there is a modest price cut ($50.00) we probably won't see a heck of a lot of movement sales-wise... Maybe a 50k baseline for a few weeks.

That said, if Nintendo digs deep and cuts prices by $100 and releases a slim-version of the Wii U gamepad that is cheaper to produce and looks more modern, I think this would sell a fair number of consoles (ie. at least the same as what MK8 did for hardware sales last year). All told, I think a price cut like this might mean the difference between 15M and 18M for the Wii U's lifetime sales... Nothing that is going to change the tides dramatically for the Wii U.

I guess from Nintendo's point of view, does it make sense to invest a lot of money into the hardware of the Wii U at this point? Even with a 10 million user base, Nintendo's most popular software titles are selling a respectable 3-4 million copies. Maybe it just makes more sense to try to maximize profit by releaseing lots of software and not worry about selling more consoles. The fact that Nintendo didn't even try cutting prices last Christmas tells me that selling Wii U hardware units is not their top priority.