Well, Wii is already in trouble since it was only 30k above of 2008 PS3 sales this week. Pretty phail considering PS3 is a domed console.

So where does that leave the PS3?

so does it confirm PS3 is domed since it is 70K below of what it sold in 2008 this week?

@darth

"if Wii sell 100K

360 sells 80K

& PS3 sells 40K

Ninty still isn't in "trouble" despite horribly low sales??"

It is not Nintendo's fault if the whole market is shrinking. They would just make less money but wouldn't be "in trouble".

If Nintendo is in trouble with this sales Microsoft and Sony are being but rapped and are gonna bankrupt just, right... now!!!!

:)

Please, please, please stop worrying about Nintedo's DOMINICE the gaming generation.  The other systems have to play catch up and add motion control.  I'll gladly read an Opinion, artical or factory sales sheet when it says,  "Micrsoft sales Catches up to Wii's (meaning 51 million) or "Sony 10 year plan (in sales) surpasses Wii's (Now).  IT JUST AIN"T HAPPENING!!!

Nintendo makes a profit on each console sold. Also Nintendo still gets a lot of third party support which is even more money for the company. Nintendo could stop selling completely and this would still be a good generation for them.

Personally though I would like to see Nintendo stay above 200K a week. I feel that it is under performing and Nintendo needs to stimulate growth.

It's a lot more complex than that.

General Motors makes a profit on every car sold too and they lost 30 billion$ last year...

Nintendo situation isn't the same at all, but unsold console sitting in warehouses do cost a lot.

General expectations would be that Nintendo didn't slow down production as they were forecasting 26 million Wii sold so now they have a lot of unsold consoles starting to pile up.

This is why a price cut is likely, it's cheaper in the end to cut the price and clean the inventories than sit on a huge pile of unsold consoles ( especially as console production costs tend to go down over time, you don't want to be selling the next two years consoles that were produced this year as producing them later on would have resulted in cheaper production costs for those consoles..)

Well if Nintendo has inventory issues then they were in trouble already. Let's not forget that having a couple thousand extra cars can cost billions while have a couple thousand extra wiis won't.

I doubt Nintendo has too many issues with inventory. Generally they are pretty conservative and tend to drop their predictions anyway. I am sure they see the trends and know not to make excess consoles. They probably won't release a prediction decrease for some time though due to not wanting to worry share holders.

Finally even if Nintendo failed to sell any consoles and remained stubborn about its shippment, they would at worse lose 6.5 billion dollars. If I remember the financial report that is about what they made last year. So they would be in the negatives but it wouldn't be that drastic. That is the most extreme case anyway. Profits will probably be down but I can't see them being in the red.

I would suggest that once Nintendo are unable to meet forecast due to lack of demand then they are in trouble. As they are a one trick pony in comparison with Sony and Microsoft this will hit the share value very quickly.

The Wii is starting to lose sales globally not always with such obvious consequences as we have seen in the UK but sales are dropping. I suspect before they get into to much difficulty and stray to far from targets they will play the trump car of a price cut. Obviously the experiment in the UK of a price rise clearly demonstrated that the Wii is not invincible.

By my calculations, the worst they can do is be 3 million under their projection.  Based on speculative manufacturing costs, that would equal out to just $500 million.   Considering they'll still have almost $5 billion in sales, they can eat the $500 million if it comes to that.

But it won't have to as they'll still hit their projected target.