So now you're denying what you said, that Nintendo would not be able to cut the price of the Wii U because manufacturing costs wouldn't diminish?

No. Its a details from investor briefing. 3.6 m forecast is separate from "Nintendo not experiencing a loss from hardware anymore"

Good. At least they won't loss anymore money.

Shouldn't be too difficult to post a profit next year, then...

Same guy tweeted that Iwata ended the briefing by saying that the 3.6 million target is conservative and not Wii U's peak sales:

Iwata - the WiiU forecast of 3.6m don't think it is peak, wanted to be more conservative this year. Meeting ends.

— David Gibson (@gibbogame) May 8, 2014

No point in forecasting 3.6m if they expect to sell more. Lies.

I made a decent guess at the very least. About time they got cost below sales price.

http://gamrconnect.vgchartz.com/post.php?id=5774523

They still have limited leverage for price cuts though; I wonder if they'll accept going into the red again by slashing the price in Q4? They might have to if they want any momentum. Then again; from a business standpoint, profits trumphs a slightly increased installed base, so they might opt for keeping the price and focus more on bundles instead.

Think of it this way:

Regular priced Wii U => profit margin = $25

Markdown priced Wii U => profit margin = $0.25

This is how a markdown can have negative impact on the profitability of a product without selling at a loss.

(Disclaimer: These hard numbers are completely made up to illustrate an idea, if you feel compelled to reply with something along the lines of "But but but, the procedrop in US is more than $25, your numbers don't add up. Please don't do it. Numbers are for illustrative purposes only.)

There is good reason to put out a "conservative" estimate given where they're at. If they put their estimate at a level comparable to last year, they seem too out of touch.

They don't exactly expect to sell  a ton more, but they'll take what they know they can get.

Everyone knows that a breakthrough WiiU year could be in the cards -- but the odds of that are like hitting a straight flush. Ace in the pocket -- but we have no idea what's on the river.

We actually have. MK8 for May and SSB for holiday are the big guns for this year. 6 months one from the other apart.

NFP games could be for next year as they only expect to show some games in development. No confirmation of releasing this year and I'd add that no Zelda trailer confirmation for this E3. In fact, they didn't mentioned.

There are more costs associated to selling hardware than the basic costs of manufacturing. There's actually quite a lot not included in that. Very strong SW sales will still be needed.