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Forums - Nintendo Discussion - Nintendo no. 1 in profits every generation. Almost feel sorry for mega corporations.

Yeah as usual Nintendo will make the most profits. Of course that upsets some people so much they want to bring sales into it but nothing has proven that PS4 is going to sale more with a higher price tag, 3 year old PC ports, no backward comp, and charging for online. Sure the die hard will eat it up but they also ate up the PSp, Vita, and PS3 and none of those dominated anything but the bottom of the charts.



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S.Peelman said:
Vinniegambini said:

http://www.gamasutra.com/php-bin/news_index.php?story=4178

Nintendo Gamecube hardware was sold at a loss throughout. Nonetheless, as you mentioned, the Gamecube segment did post profits due to the incredible attach rach of software sales. Overall it was profitable, but the hardware loses limited their profit margins greatly.

Cool, thanks.

Interesting, but actually belittles my view of the GameCube even further. If they didn't make a real profit (I guess software still put the whole in black), the GBA sure was madly profitable when Nintendo made more money off the 6th gen than Sony with their massive PS2.


There is nothing in his link that backs up his claim. It doesnt mention the GC anywhere and even then it doesnt link to anything to back up its claims. It sounds like the loss comes from buying production plants not making the hardware

"The newspaper also notes that Nintendo is currently losing ¥20 billion ($180.8m) each year on Nintendo hardware, but that this loss will be reduced by reusing the production plants for next generation hardware."

 

Not trying to diss you but dont just believe  anything you read from a random web site with nothing to back it up



ListerOfSmeg said:
S.Peelman said:
Vinniegambini said:

http://www.gamasutra.com/php-bin/news_index.php?story=4178

Nintendo Gamecube hardware was sold at a loss throughout. Nonetheless, as you mentioned, the Gamecube segment did post profits due to the incredible attach rach of software sales. Overall it was profitable, but the hardware loses limited their profit margins greatly.

Cool, thanks.

Interesting, but actually belittles my view of the GameCube even further. If they didn't make a real profit (I guess software still put the whole in black), the GBA sure was madly profitable when Nintendo made more money off the 6th gen than Sony with their massive PS2.


There is nothing in his link that backs up his claim. It doesnt mention the GC anywhere and even then it doesnt link to anything to back up its claims. It sounds like the loss comes from buying production plants not making the hardware

"The newspaper also notes that Nintendo is currently losing ¥20 billion ($180.8m) each year on Nintendo hardware, but that this loss will be reduced by reusing the production plants for next generation hardware."

 

Not trying to diss you but dont just believe  anything you read from a random web site with nothing to back it up

Well it's an article from 2004 saying Nintendo lost 180m on hardware. It's can't be about anything but the GameCube because the GBA didn't lose money. And if it's the whole, the GC lost a lot more money than that number and GBA damage-controlled it up to 'just' -180m. Unless that figure includes R&D on the DS, which was about to release but I don't see why it would.



snyps said:

 

lemme put these right here where ppl can see it 

 



Nothing needs to be said beyond this. The facts speak for themselves regardless of whether people want to believe them or not



S.Peelman said:
ListerOfSmeg said:
S.Peelman said:
Vinniegambini said:

http://www.gamasutra.com/php-bin/news_index.php?story=4178

Nintendo Gamecube hardware was sold at a loss throughout. Nonetheless, as you mentioned, the Gamecube segment did post profits due to the incredible attach rach of software sales. Overall it was profitable, but the hardware loses limited their profit margins greatly.

Cool, thanks.

Interesting, but actually belittles my view of the GameCube even further. If they didn't make a real profit (I guess software still put the whole in black), the GBA sure was madly profitable when Nintendo made more money off the 6th gen than Sony with their massive PS2.


There is nothing in his link that backs up his claim. It doesnt mention the GC anywhere and even then it doesnt link to anything to back up its claims. It sounds like the loss comes from buying production plants not making the hardware

"The newspaper also notes that Nintendo is currently losing ¥20 billion ($180.8m) each year on Nintendo hardware, but that this loss will be reduced by reusing the production plants for next generation hardware."

 

Not trying to diss you but dont just believe  anything you read from a random web site with nothing to back it up

Well it's an article from 2004 saying Nintendo lost 180m on hardware. It's can't be about anything but the GameCube because the GBA didn't lose money. And if it's the whole, the GC lost a lot more money than that number. Unless that figure includes R&D on the DS, which was about to release.

Yeah I can read. I know what it says. I am saying there is nothing to show what it is saying is true.

It also talks about reusing production plants... Buying production plants cost money so I'd say that is where the loss comes from sce reusing them will cut losses.  It would also include R&D as that is part of hardware..

Suggesting it is just the GC alone is silly especially since there is nothing to back that up and nothing else is even being considered.



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ListerOfSmeg said:

Yeah I can read. I know what it says. I am saying there is nothing to show what it is saying is true.

It also talks about reusing production plants... Buying production plants cost money so I'd say that is where the loss comes from sce reusing them will cut losses.  It would also include R&D as that is part of hardware..

Suggesting it is just the GC alone is silly especially since there is nothing to back that up and nothing else is even being considered.

@ Bold: Okay, cool, that has been a problem with someone else sometimes.

@ Italic: Maybe, could be. Maybe not though. First it never says that Nintendo bought production plants sometime in the past. As far as I know Nintendo has made their hardware at Foxconn for a while now (since the GC anyway). Even if they did, I also don't see how 'buying production plants' would end up under the hardware line, since that would be property purchases by Nintendo, which is another expense. Sony's selling off buildings last year also wasn't included under the hardware sales header, and Nintendo's own new headquarters they're building isn't either. Lastly, if taken literally what the article says, I would imagine that the greatest cost-reducing effect from 'reusing the same plants' would be less management expenses when re-hiring the same factory to make your products.

@ Underlined: I mentioned this in an edit, but I'm not sure if this would be taking into account into this hardware figure. Even if it is though, and they were still losing this much on harware alone in 2004, two years after release, they indeed didn't make a lot on the GC in the first place, or the GBA would've made a lot less then I would have thought.

All in all though, I know and agree Nintendo made more money off gaming then SEGA, Microsoft and even Sony did during the 6th gen. If only the division of income wouldn't be so vague .



ListerOfSmeg said:
S.Peelman said:
Vinniegambini said:

http://www.gamasutra.com/php-bin/news_index.php?story=4178

Nintendo Gamecube hardware was sold at a loss throughout. Nonetheless, as you mentioned, the Gamecube segment did post profits due to the incredible attach rach of software sales. Overall it was profitable, but the hardware loses limited their profit margins greatly.

Cool, thanks.

Interesting, but actually belittles my view of the GameCube even further. If they didn't make a real profit (I guess software still put the whole in black), the GBA sure was madly profitable when Nintendo made more money off the 6th gen than Sony with their massive PS2.


There is nothing in his link that backs up his claim. It doesnt mention the GC anywhere and even then it doesnt link to anything to back up its claims. It sounds like the loss comes from buying production plants not making the hardware

"The newspaper also notes that Nintendo is currently losing ¥20 billion ($180.8m) each year on Nintendo hardware, but that this loss will be reduced by reusing the production plants for next generation hardware."

 

Not trying to diss you but dont just believe  anything you read from a random web site with nothing to back it up

You don't even know what you are talking about. I'd suggest you tone down your attitude as well.

The article states that ''the loss will be reduced by reusing the production plants for next generation hardware'' which means that Nintendo reused assets from their Gamecube inventory at their production plants in order to manufacture the Wii thus reducing the loss going forward.

Gamecube was sold at a loss:

http://www.gamasutra.com/view/news/180110/Nintendo_Wii_U_will_be_sold_at_a_loss.php

http://spong.com/article/1753/GameCube-gets-it-right-as-Merrill-Lynch-back-the-company

 



Vinniegambini said:
ListerOfSmeg said:
S.Peelman said:
Vinniegambini said:

http://www.gamasutra.com/php-bin/news_index.php?story=4178

Nintendo Gamecube hardware was sold at a loss throughout. Nonetheless, as you mentioned, the Gamecube segment did post profits due to the incredible attach rach of software sales. Overall it was profitable, but the hardware loses limited their profit margins greatly.

Cool, thanks.

Interesting, but actually belittles my view of the GameCube even further. If they didn't make a real profit (I guess software still put the whole in black), the GBA sure was madly profitable when Nintendo made more money off the 6th gen than Sony with their massive PS2.


There is nothing in his link that backs up his claim. It doesnt mention the GC anywhere and even then it doesnt link to anything to back up its claims. It sounds like the loss comes from buying production plants not making the hardware

"The newspaper also notes that Nintendo is currently losing ¥20 billion ($180.8m) each year on Nintendo hardware, but that this loss will be reduced by reusing the production plants for next generation hardware."

 

Not trying to diss you but dont just believe  anything you read from a random web site with nothing to back it up

You don't even know what you are talking about. I'd suggest you tone down your attitude as well.

The article states that ''the loss will be reduced by reusing the production plants for next generation hardware'' which means that Nintendo reused assets from their Gamecube inventory at their production plants in order to manufacture the Wii thus reducing the loss going forward.

Gamecube was sold at a loss:

http://www.gamasutra.com/view/news/180110/Nintendo_Wii_U_will_be_sold_at_a_loss.php

http://spong.com/article/1753/GameCube-gets-it-right-as-Merrill-Lynch-back-the-company

 

Actually I do know what I am talking about as you had to post other links to back up your claims as it wasnt in the first thing you posted. LOL nice try though but if I was wrong, you simply needed to quote the original article. You didnt so clearly I was right. OH but you said the entire gen it sold at a loss. It launched with a loss of 14 dollars. I doubt they didnt reducse cost enough over 4 years . I gave you credit for being right but you are wrong obviously. Maybe you should focus more on reading comprehension then insulting others.

Even the links you provided dont prove it sold at a $14 loss the entire generation, but I  find it amusing you are trying so hard to convince people it did. It shows you dont know anything about production. They all get cheaper over time, the price never stays the same.

 

No need to throw a hissy fit kid. Just post something relevant which is what you did.

 

And again you post something that isnt in anything you posted. Nowhere does it say they are reusing GC assets. it says clearly, because I quoted it

""The newspaper also notes that Nintendo is currently losing ¥20 billion ($180.8m) each year on Nintendo hardware, but that this loss will be reduced by reusing the production plants for next generation hardware."

Reusing production plants does not equal reusing GC assets.

You could be right but if you want me to believe you, you will have to provide a link to prove it. Since your claims have all been proven wrong by  your own links. Also buying the plants would be figured into cost of making the hardware but that cost would be split between anything they make at those plants.

 

Now try to be adult about it this time if you want to continue talking. I dont waste my time responding to people who think acting childish proves them right.

Moderated,

-Mr Khan



pezus said:

"The last one is only getting started. " 

Correct me if I'm wrong, but hasn't Nintendo been losing money for a while now? They made a very small profit last quarter iirc.




Nintendo is no. 1 in the game industry profitwise every generation. You're point is invalid.



ListerOfSmeg said:
Vinniegambini said:
ListerOfSmeg said:
S.Peelman said:
Vinniegambini said:

http://www.gamasutra.com/php-bin/news_index.php?story=4178

Nintendo Gamecube hardware was sold at a loss throughout. Nonetheless, as you mentioned, the Gamecube segment did post profits due to the incredible attach rach of software sales. Overall it was profitable, but the hardware loses limited their profit margins greatly.

Cool, thanks.

Interesting, but actually belittles my view of the GameCube even further. If they didn't make a real profit (I guess software still put the whole in black), the GBA sure was madly profitable when Nintendo made more money off the 6th gen than Sony with their massive PS2.

 

Actually I do know what I am talking about as you had to post other links to back up your claims as it wasnt in the first thing you posted. LOL nice try though but if I was wrong, you simply needed to quote the original article. You didnt so clearly I was right. OH but you said the entire gen it sold at a loss. It launched with a loss of 14 dollars. I doubt they didnt reducse cost enough over 4 years . I gave you credit for being right but you are wrong obviously. Maybe you should focus more on reading comprehension then insulting others.

Even the links you provided dont prove it sold at a $14 loss the entire generation, but I  find it amusing you are trying so hard to convince people it did. It shows you dont know anything about production. They all get cheaper over time, the price never stays the same.

 

No need to throw a hissy fit kid. Just post something relevant which is what you did.

 

And again you post something that isnt in anything you posted. Nowhere does it say they are reusing GC assets. it says clearly, because I quoted it

""The newspaper also notes that Nintendo is currently losing ¥20 billion ($180.8m) each year on Nintendo hardware, but that this loss will be reduced by reusing the production plants for next generation hardware."

Reusing production plants does not equal reusing GC assets.

You could be right but if you want me to believe you, you will have to provide a link to prove it. Since your claims have all been proven wrong by  your own links. Also buying the plants would be figured into cost of making the hardware but that cost would be split between anything they make at those plants.

 

Now try to be adult about it this time if you want to continue talking. I dont waste my time responding to people who think acting childish proves them right.

 


So much wrong in this post once again.

I provided you proof that the Gamecube was sold at a loss with the first link. You claimed that I had nothing to back up my claim. I provided you with two other links saying the following to support my claim:

''GameCube incurred a small loss with each sale initially''

''News has emerged that Nintendo will make a loss on each GameCube sold to the tune of 2350 Yen'' - supported by investing firm Merril Lynch

Production costs decrease overtime; however, due to the strengthening yen and low market price, Nintendo was still losing money with the Gamecube. Which is supported by the following:

''The newspaper also notes that Nintendo is currently losing ¥20 billion ($180.8m) each year on Nintendo hardware'' - 2004

The Wii follows much of the same architecture of the Gamecube and Nintendo used what was left in their inventory of the Gamecube + used the same production plants of the Gamecube in order to reduce costs for their next generation hardware - the Wii. Supported by the following:

''...Loss will be reduced by reusing the production plants for next generation hardware''

Everything I have said has been consistent. Once again, I suggest you tone down your attitude as I have done nothing but advise that the Gamecube was sold at a loss but the software attach-ratio was excellent, over 200 million software sold against a 21 million platform, making the Gamecube a good investment for Nintendo nonetheless.

Best Regards