Nintendo of America: "Grab a Wii U while you can"

[Aquamarine]

tak13 said:

Aquamarine said:

I don't know...it was a off-hand comment made in passing. I'm not a Nintendo employee...we hear a lot of chatter and get a lot of reports that never get made public, but I don't have specifics about Nintendo's logistics and supply chain.

The Wii U is so completely irrelevant that nobody cares about it anymore internally. Everyone's laser focused on NX.

But applying my knowledge as an accountant one would assume that 700K means the monetary aggregate of finished + WIP + Raw Materials - DM in the Inventory B/S line item, so only 100K extra procured for further production.

Wii U production is being repurposed for NX production so it makes sense that Nintendo is manufacturing so few units. There's no point in wasting machinery on a failed console...the opportunity cost is just too high.

                                They have to make money till the March 2017, though! Anyway!

What about Japan? They had unexpectedly ( for them ) very big holidays there thanks to splatoon and to a lesser extent to super mario maker,  probably they ran out of wii u Japanese inventory, since it faced shortages soon after, that Nintendo hasn't fix as of now...

Imagine, sales and shipment comparison in March,  showed that there was almost no wii u stock in Japan...!

Since then, wii u selss 4k every week, they obviously constrain the supply  ( I have inferred that Nintendo ships 4k wii u every week in Japan and they sell that out !) This happens because the remaining  inventory is tiny or inventory depleted and they had to manufacture wii u but because of NX they can't produce  a sufficient amount/production pace being extremely slow?

Japan-specific Wii U inventory is not analogous to worldwide inventory that is sitting in NoA warehouses in North Bend, Washington or NoE warehouses in Germany that need to be repurposed, or inventory that has yet to be finished.

If Nintendo is transitioning their machinery to NX machinery then there is less capacity to manufacture units to ship within Japan. And even though there is demand in Japan, it may not be worth it to waste time chasing it in lieu of going full steam ahead on NX production. Remember, Nintendo sells the majority of its software and hardware outside of Japan...the worldwide market is much more important than the domestic one.