My theory: Wii is already raking in a lot more profit than the average new home console, all thanks to the high prices on the competing consoles.

It's clear that Wii makes at least $50 profit in the U.S., because Wii Sports costs next to nothing to include, yet the system costs about $40 US more than the Sports-less Japanese version.

On top of that, I suspect Wii was designed to have an even lower retail price than it does - after all, it's just two GameCubes duct-taped together, right? How does that cost $250? I think when Nintendo saw the demand for Wii at E3, and the high prices on the competing systems, it saw a chance to price Wii even higher than it had planned, and took it.

What a difference a year makes. When Nintendo announced the price, gamers everywhere cried foul. Now I have friends who think Nintendo was stupid not to make the price even higher, based on how well it's selling.

Buying Sony then they have to be huge, Sony is not only gaming it is a hell lot more.

Funny how that works.  Sony is a heck of a lot more and they're getting their butts kicked by a company that (for the most part) just does video games.

Would be cheaper to buy SCEI and let Sony keep the profitable parts of the company.

that is seriously stunning. It may be a bit overvalued right now, but that is absolutely amazing.
Given the nature of the console business, there is no way to know if they will be dominant next gen, while Toyota we know will be strong.

can someone tell me what Sony's market cap is?

What about Honda? It's pretty huge company, surely bigger than Mitsubishi and I thought it's doing ok. Also Nissan is big.

And Nintendo isn't bigger than Sony, maybe more valuable at a time but in terms of revenue, number of factories, employees Sony is much bigger. For example Sony's revenue is 70 billions $ per year (which is about one third of what Toyota makes), Nintendo is only 7.8 billion. But being huge company and generating profit (thus being valuable) aren't the same things. Actually some big company in a part of its life can be worth close to nothing.

And the chance of Nintendo beating Toyota (assuming Toyota keeps its level its success) is pretty low. Acutally the fact that Nintendo is worth one third of a company which has 30 times bigger profits is an outstanding result.

Nintendo is in a great position. Nintendo's market cap is the only thing bigger than sony though. Yet, Sony brings in nearly 10 times the revenue that nintendo does. But you can't forget, Sony's video game division is just a part of the company which sells everything from computers to TVs. Sony is probably only breaking even in the video game department, because the PS3 is costing them money for each one they sell.

Eh, Konnichiwa, the stock market value of Sony is not just its game department (SCEI) but the whole of Sony. So Nintendo is now worth a lot more than Sony, with way fewer assets, which means its value is based for a large part on profit projections. Sony's worth is reduced since the introduction of the PS3, which means investors are not really happy with it.

Afaik Sony is losing in gaming (even Microsoft is). And I know that Sony's making almost everything in electronics. Thats the main reason why it's bigger.

'only' in market cap?  market cap is basically the only thing that matters, market cap is the true value of a company, not how many factories you have or how big the company is. 

i found sony's market cap in dollars, it at 45.85 billion dollars

that translates to 5,639,094,996,807 yen

5 trillion 600 million yen, a few trillion smaller than nintendo.