The Switch is not another Wii U!

[zorg1000]

ps4tw said:

zorg1000 said:

Care to explain how they sold 80 million units of hardware & over 200 million units of 1st party software in the last 5 years? If they can do that just from "NINTENDO FANS!!!" than they will be fine. Saying Wii U is proof that only Nintendo fans buy Nintendo products is the equivalent of using Vita as proof that only Sony fans buy Playstation products.

You also dont seem to be up to date on Nintendo's fiscal results. This will be their 3rd consecutive year of posting an annual profit.

Your arguments could not be more ignorant.

I'm guessing you neither work for a big company or undersand how business works?

In the last five years, these are the key metrics:
1) The Wii U has been the slowest ever selling console.
2) The 3DS has been Nintendo's worst performing console.
3) Nintendo posted it's first quartly losses.

It literally doesn't matter that they sold "X", because, and this is something you absolutely failed to grasp the first time, it shows their business plan and strategy have failed. Also the most recent financials show that sales are down 27% YoY. Now, to say any of that is healthy and no need for concern, you would have to have an extremely rudimentary (read: non-existant) understanding of business finances and market plans. But y'know, carry on with your #alternativeeconomics

You are changing your argument as the discussion was never about their performance from a business standpoint, earlier you said that there is no market for Nintendo devices and Nintendo games, being able to sell 80 million units of hardware & over 200 million units of 1st party software (over 400m total sw) in a 5 year period is undeniable proof that there is a market for Nintendo products even if it is a decline from previous generations.

Those previous fiscal losses were due to selling hardware at a loss, 3DS was sold at a loss for about a year and Wii U was sold at a loss for essentially it's entire life. There is a big difference between losing money because you make poor financial choices and losing money because your products are not appealing, Nintendo's losses came from the former, not the latter.

A perfect example is Sony last generation, PSP+PS3 sold about 165 million units of hardware and about 1.2 billion units of software. With numbers like that you can't deny that the Playstation market was strong. Despite those high sales Sony's gaming division had huge losses for a good chunk of the generation primarily due to PS3 being sold at a massive loss for a few years. Look at the Playstation division now, overall PS4+Vita hardware/software sales will probably be similar to PS3+PSP but the big difference is that Sony is set to have profits in the billions this generation compared to losing billions in the previous generation.

How can you go from losing billions to making billions with similar level of sales? By making better financial decisions. Theoretically Nintendo can be very profitable with a userbase of 80 million units of hardware and 400 million units of software each generation if they don't make poor decisions such as selling hardware at a loss.