There's some element of truth there; we can always say the silver lining to not selling more is that they didn't lose more on the hardware. Yet I doubt that dooming their console with lack of marketing and support was the business plan.

The plan more likely would have been to sell 9 million like they said last year, taking a loss in order to boost the future of the platform.

Cost reduction isn't just a matter of waiting, it also needs a strong expectation of future sales. Like moving the SoC from 45nm to 32nm may not be cost effective at ~3.5 million units a year.  As many as 10 million units may be needed to break even.  Wii U may possibly not sell another 10 million lifetime, making economic cost reduction of the SoC impossible.  Some parts like memory & LCD screen which are not bespoke components could fall in price automatically, assuming they are not obsolete.

The Reach.

my favorite part is when the op said "think about all of this, it DOES make sense".

OK cool now explain why there keeping sales ridiculously low for this next year with a forecast of 3.6m

So investors are calling for change because nintendo is doing great with the low sales? Iwata's approval rating lowered cause it was part of the plan to sell less?

Are you being sarcastic?

I love when Nintendo is in trouble, cause Nintendo fans get really creative! Bring more doom, I personally can't wait!

Best sarcasm thread in a while.

Nintendo isn't structured in a way to make money. They know how to sell a console for profit and they know how to make a profit on the games they release, but as far as how to be a competitive, organized, and functioning business they know less than their competition.

I really hope this is a parody thread.

So Nintendo is selling crazy bad on purpose until the WiiU gets profitable so they can sell more o_o sorry I'm confused, I feel like I was hit by a train..