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vivster said:
All these things just come down to Nintendo liking to do everything cheap for them. While other console makers go out of their way to deliver the biggest value for the consumer and produce a competitive product while even taking losses Nintendo is either too afraid or too stubborn.

Probably too afraid. Unlike Microsoft and Sony, Nintendo can't cross finance selling hardware at a loss with income from other divisions. Sega sold the Dreamcast at a loss, and that drained them so much money they had to stop producing the console or face bancruptcy. In fact, the better the Dreamcast sold, the worse it got for Sega. While Nintendo also started selling hardware at some loss (they did originally with the Wii U), they don't undercut the price nearly as much as their concurrents - they just can't afford to do so without risking it to be a huge money drain.