Forums - Nintendo Discussion - Will Nintendo opt to lose money initially on the Wii U? Reggie says "NO" Update

Don't think it will sell the console at a loss, but probably they decide to sell it at a price without profit (don't know the exact word to describe that sorry xD)
They need to build a great launch lineup in order to move the PS360 crowd; maybe with a Wii U sports or a 1st party secondary game (It comes to mind probably a F Zero or a Metroid game)
With the right price and right games, Wii U could sell like hot cakes



3DS FC :  4339 - 3326 - 7693. Add me :) Nickname Tin

Around the Network
kitler53 said:
$200 worth of tech in the console - $100 worth of tech in a controller - sell it at cost.

..seems reasonable enough to me. i just can't envision nintendo taking a loss...they'll lower their profit margin and cut corners in their hardware until it is at least a wash at a reasonable launch price.


You think the controller costs $100 to make? Really?

>_>



turtuls said:
I think they wont lose money at a loss because they will make the tablet do some crazy interaction crap with the ds/3ds like the playing with the touch screen with the tablet and using your tv as the top screen and if you got a 3d tv you can play 3ds games on it and everyone will be going how revolutionary that is and those hardcore that bought that gameboy player for the gamecube will be willing to buy it at any price. Also, a new wii sports will help sales.


QUE?!?!!? LOL yeah because we all know how well the GB player did for the GC and that damn thing wasnt even that expensive. And it wasnt even that technically marvelous, it was just an updated Super GB. Not sure where you're coming from



Why do people think that Ninty cant sell it for 400??? Is it some rule?? Didnt MS sell 360 for that price and it did alright. The guys at Ninty already said it would be costly. So unless they are going to backtrack and cheap out on hardware, which lets be real might be good for them and not good for actual gamers; $300-400 is not outside the realm of possibility.



Play4Fun said:
kitler53 said:
$200 worth of tech in the console - $100 worth of tech in a controller - sell it at cost.

..seems reasonable enough to me. i just can't envision nintendo taking a loss...they'll lower their profit margin and cut corners in their hardware until it is at least a wash at a reasonable launch price.


You think the controller costs $100 to make? Really?

>_>


it's a wiimote + motion-plus + a 6.2" high definition touch screen + a camera + mic + a recharable battery + whatever tech is needed to recieve and decode the data stream. i don't know what that will all cost but there is quite a few things stuck in there...for it's size there is probably a good $20 just tied to plastic casing...



Around the Network
Mr Khan said:
kitler53 said:
$200 worth of tech in the console - $100 worth of tech in a controller - sell it at cost.

..seems reasonable enough to me. i just can't envision nintendo taking a loss...they'll lower their profit margin and cut corners in their hardware until it is at least a wash at a reasonable launch price.

The controller is definitely the variable, but i could conceivably peg it at under $100 for production costs. We are talking about something functionally inert like the Wii remote, such that it will have little if any onboard processing power or memory. The very high capacity streaming technology is likely the worst factor, because even the touch screen is older tech (same touchscreens as the DS/3DS as opposed to what's used in virtually everything else)

i not saying that it will cost $100 but maybe upwards of.  i'm just making an estimate of costs, afterall if i'm high all that proves is that nintendo doesn't need to sell at a loss. 

..but i don't think i'm that far off.  nintendo is taking a small loss on 3DSs right?  well they both have touch screens (the wiiU's is bigger), they both have a recharable battery, a camera, a mic, a speaker, accelerameters, a gyroscope...   so it's short the CPU or whatever, a second screen, and the 3D camera.  if $270 is a loss on the 3DS then $100 for a wiiU controller doesn't seem that high to me for how many feature are tit-for-tat.



oniyide said:
Why do people think that Ninty cant sell it for 400??? Is it some rule?? Didnt MS sell 360 for that price and it did alright. The guys at Ninty already said it would be costly. So unless they are going to backtrack and cheap out on hardware, which lets be real might be good for them and not good for actual gamers; $300-400 is not outside the realm of possibility.


This is wrong, Microsoft did not alright at this price, it was only when it hit the 200$ pricetag that the 360 started to have success.

Nintendo has never sold a console that much and seriously, it would hurt them a lot if the pricetag of the Wii U was superior to the Wii when it was released.

If the Wii U is worth 400 $ of hardware, it is a massive failure from Nintendo, a massive mistake. But I doubt they are that stupid. They know price matters more than technology. Wii showed it. 3DS showed it again.

I would be very surprised if they released the Wii U at more than 300$ after experiencing the 3DS slower than expected start before the pricecut.



Level1Death said:
scottie said:
Level1Death said:
Yes. They won't have much of a choice.


Lets see, they chose not to last gen, and the gen before, and the gen before that. Oh and every single home console they've ever sold. 

 

Nintendo is coming into the next gen in the best position it has been in since the SNES- N64 transition. They have a choice.

The controller might not be cheap, and if they want to attract the PS3/X360 crowd (which I don't think it'll work) they'll need to close the power gap.


The PS360 crowd will, very soon, be offered a choice between the WiiU, and the PS4 or 720. When this comes, the WiiU will have had about a year of getting games and word of mouth in its favour. The WiiU is in a good position.



kitler53 said:

i not saying that it will cost $100 but maybe upwards of.  i'm just making an estimate of costs, afterall if i'm high all that proves is that nintendo doesn't need to sell at a loss. 

..but i don't think i'm that far off.  nintendo is taking a small loss on 3DSs right?  well they both have touch screens (the wiiU's is bigger), they both have a recharable battery, a camera, a mic, a speaker, accelerameters, a gyroscope...   so it's short the CPU or whatever, a second screen, and the 3D camera.  if $270 is a loss on the 3DS then $100 for a wiiU controller doesn't seem that high to me for how many feature are tit-for-tat.

You are approaching this from the wrong angle. The most expensive components of the 3DS are obviously its motherboard and the 3D screen which both won't be a part of the Wii U controller.

Instead of estimating costs based on the 3DS, start with a regular controller. Today's controllers like the DualShock 3 are sold for about $50 with a good profit margin. The only additional components in the Wii U controller are a mic, a speaker and a touchscreen. The former two aren't especially expensive, so it would take one heck of a screen to push the price to $100.

The bigger problem is the Wii U itself. Since Nintendo is aiming for third party parity with that thing (parity with the Nextbox and PS4), $200 for the tech inside that box is lowballing it.



Legend11 correctly predicted that GTA IV (360+PS3) would outsell SSBB. I was wrong.

A Biased Review Reloaded / Open Your Eyes / Switch Gamers Club

they will make 0.01p profit each console...

but the games price will be sliighty higher then usual £1 each and tehy will make a bit of a profit there.



Switch!!!