Yeah I know I remember the GC days.. But then Nintendo had the handheld market locked easily.. without that they would pretty much be in the same situation sonys in only without having their ps2 and psp to keep SCE floating.. Granted Nintendo doesn't do the whole making consoles at a loss thing and they would still be profitable but it would still be a bad situation for them.

I know it may seem far out but Nintendo doesn't have to make a console and sell it at a loss to get into a dangerous situation..

For instance.. if Nintendo goes in with high expectations and sells horrible in both markets it would still be a bad situation..


regardless of their console being profitable.. lower revenue means lower profits.. I don't know how much they would have to pull in to stay afloat so I won't go much further into that but im sure they have expenses and if they fail to meet them they won't wait until they lose billions of dollars to start considering a third party transition..

I don't follow your logic. Nintendo's marketshare shrank for three straight generations and they continually posted a profit. The whole point of Nintendo's business model is the prevent a situation like Sony is in with the PS3. The Gamecube only sold just about 40% of Nintendo's projections and it was still profitable because every system they sold netted a profit. Nintendo's business plan doesn't require market dominance for success. The loss leader philosphy of Sony and MS do however. Ever piece of hardware Nintendo sells improves their bottom line, MS and Sony lose money on their consoles for the most part. The original X-box lost MS money on every sale. Sony didn't profit off of the PS2's hardware until year three. That is why even with the Gamecube finishing third, Nintendo was able to increase its cash reserves.

LOLOL

Angel_DwK

are you braindead?

"regardless of their console being profitable.. lower revenue means lower profits.. I don't know how much they would have to pull in to stay afloat so I won't go much further into that but im sure they have expenses and if they fail to meet them they won't wait until they lose billions of dollars to start considering a third party transition.."


did you think when typing that? if it keeps selling at a profit..it means they DON'T LOSE ANY CENTS...no cent is lost..

even IF they sell less than expected: look at GC

they STILL made profits and didn't lose any money..


conclusion:
not earning as much as you'd like isn't the same as LOSING BILLIONS

like Rol said: they'd have to pull a couple of PS360 failures in a row to loose that much money to even CONSIDER becoming a 3d party

you seem like a troll to me...hoping Nintendo will fail.. XD

so...yeh *shrugs* as long as they make a profit..it's worth it

oh my crazy nephew, there is no way i am gonna use that

uggh.. of course they remained very profitable during the N64 and GC days.. they had a whole market to themselves and sold millions.. now without those millions of sales coming from the handhelds im sure they would have considered going third party before..


regardless of not selling at a loss and making money off each system sold if you don't sell enough your obviously going to have a problem..

for example... lets say they didn't sell their 50+ million handhelds..

ill use the GC as an example seeing as how I don't know the N64s numbers off hand.. I barely know the GCs numbers but ill just give it a good guess and say.. idk 21 maybe 22 million..


anyways the GC had a 200 price point at launch and dropped down to 150 about a year or two later.. eventually getting to 100.. ill go with 150 seeing as how it was at this point the longest...


meaning about 3.1 billion dollars minus the cost of manufacturing spread out over about 5 or 6 years.. seems like an ok amount until you cut out what's needed to keep the company afloat and manufacturing cost...

ehh don't take this to seriously seeing as how I refuse to go into others or japan im just using the dollar and I don't know how much it cost to make a gamecube during the time.. this is just a rough estimate..

I don't think the OP gets what profit means..

it means minus ALL the costs of making the console..

wich means..keeping the company afloat XPP

so...in the end..

even if they sell less than expected, but make a profit..it means THERE ARE NO LOSSES

wich obviously means..they won't go bankrupt..

sorry..I hate fanboys like him

its ok.. sooner or later it won't sound silly..

yes.. there is no arguing the fact that software is where the real money is made and lets face it.. nintendo is a software beast and constantly puts out million plus sellers..

but if Nintendos install base isn't very big then their obviously going to sell less software and their overall revenue is lowered.. in all areas.. and it doesn't matter if you break even.. sell at a loss or make profit from a console the fact is if you don't sell what your making then your just paying to make the console.. I mean you sell it to retailers.. and the retailers sell it to the people.. if the retailer doesn't sell the product they won't rush out to buy more and you'll be sitting there throwing money away on manufacturing costs..

if Nintendo see's that their console is eating away at their money and it can't justify the cost with software sales because of a small install base and their handheld is in the same situation they may just realize that if they can't sell software because of low hardware sales then maybe it would be better to just sell software on other consoles..

besides... I wanna play pokemon on my psp...

you are a fanboy confirmed


you se...making profit...lol..nvm you don't even know what profit means..
they sell their games at a profit too ya know..

so even IF they sell less than expected..only someone like you would up production..
obviously they won't..

did you even LIVE in the N64 and GC time?..they weren't selling alot..

but they made money on the consoles AND the games'

AND the handhelds..

it's not like the GBA carried the GC per se..

but it obviously made more profit..


please..do us all a favor DwK..do NOT go into business..

we would be getting another recession/depression if you went into business..

ok.. to the person above my last post... I know what profit means.. but it obviously doesn't matter if every console bought covers the manufacturing costs if the console doesn't sell...... also like any other company in the world the manufacturing costs arnt the only costs they have to worry about.. Workers.. marketing.. R&D.. licensing fees.. these all come to mind. wait.... how am I a fanboy?