706 replies to this topic

[Nintendoes]

At least it's not $599​ U.S. Dollars

[10k]

They did with 3ds

No they didn't. They lowered their profit margin. It only costs $101 to manufacture a 3DS. Nintendo probably earns $10-15 on every 3DS sold whereas before they were earning 20-25 bucks a unit. They aren't selling at a loss, just not gaining as much profit as before.

[Gameboysoadvance]

No they didn't. They lowered their profit margin. It only costs $101 to manufacture a 3DS. Nintendo probably earns $10-15 on every 3DS sold whereas before they were earning 20-25 bucks a unit. They aren't selling at a loss, just not gaining as much profit as before.

What? You're saying it yourself. LOWER PROFIT MARGIN. That's taking a loss buddy.

[Link707]

What? You're saying it yourself. LOWER PROFIT MARGIN. That's taking a loss buddy.

Are you insane... They aren't taking a loss on anything, you dont realize that they are still gaining profit. They aren't losing any money, by decreasing price they allowed for more to be sold which increased profit. Now they achieve more profit than ever by dominating the market.

[10k]

What? You're saying it yourself. LOWER PROFIT MARGIN. That's taking a loss buddy.

lol. Profit is not losing money buddy. As long as they make a profit they are making money. Taking a loss means losing money on each unit sold. For example, the PS3 cost around $800 for Sony to build in 2006, and they sold it for $600, meaning for the first year Sony took losses of $200 per console, whereas Nintendo made a profit on every Wii sold (about $8 on each one for the first few years).

[Gameboysoadvance]

lol. Profit is not losing money buddy. As long as they make a profit they are making money. Taking a loss means losing money on each unit sold. For example, the PS3 cost around $800 for Sony to build in 2006, and they sold it for $600, meaning for the first year Sony took losses of $200 per console, whereas Nintendo made a profit on every Wii sold (about $8 on each one for the first few years).You guys are so dedicated your not good. Read the following link. It's filled with the word losses. They have taking a L before. Stop being so stupid and read up suckas!
http://mobile.pcmag.com/device2/article.php?CALL_URL=http://www.pcmag.com/article2/0,2817,2399375,00.asp

[10k]

You said the 3DS was losing them money. It is not. They sell each one at a profit. The problem was software sales weren't good for the 3DS, less people bought a Wii, and less people bought Wii games. Yes Nintendo lost money this year, but they aren't losing it on every 3DS sold as you suggested.

Nintendo has never sold hardware at a loss. Even their least successful console (Gamecube) sold only 24 million units, but each console sold made Nintendo profit (even when it got slashed to $99 in 2005ish) which means they made more money than Microsoft did with the Xbox 1, as that was never profitable in it's 4 year lifespan.

Which goes back to the point that started this all; Nintendo will not sell the Wii U cheaply at a loss ever. It will sell at break even point or higher.

[Gameboysoadvance]

You said the 3DS was losing them money. It is not. They sell each one at a profit. The problem was software sales weren't good for the 3DS, less people bought a Wii, and less people bought Wii games. Yes Nintendo lost money this year, but they aren't losing it on every 3DS sold as you suggested.

Nintendo has never sold hardware at a loss. Even their least successful console (Gamecube) sold only 24 million units, but each console sold made Nintendo profit (even when it got slashed to $99 in 2005ish) which means they made more money than Microsoft did with the Xbox 1, as that was never profitable in it's 4 year lifespan.

Which goes back to the point that started this all; Nintendo will not sell the Wii U cheaply at a loss ever. It will sell at break even point or higher.

Apparently you and nintendo have not been living in this recession. There's reports all over the net showing nintendo currently losing hundreds of millions. If current xbox360 controllers are about 40-50 with no touchscreen, imagine the cost of nintendo's new controller. It's practically an iPad/ereader, and the average anywhere from $80-$200(low-end) and nintendo controller uses NFC, adding to cost. Not to mention the Wii U itself is probably a $300 machine. There is no way Nintendo is going to try and sell a console to the masses for $500. In this environment Nintendo will have to take a loss per unit(at least for awhile). Sony and Microsoft has done this not because their stupid, but because they actually made next Gen consoles and had to except the price that came with it. Nintendo lagged behind using cheap hardware but good games to push the console. They can no longer get bye alone on this anymore. They are starting to see xbox 360 sales sore and theirs plummet. The only model is to build a big bad ass machine load it with features and put it on the market and hope that the games sell the machine. Microsoft and Sony took losses because they wanted to build something bigger and better than Nintendo, in hopes that the games would make up for the losses in the long run. It worked(for Microsoft at least, Sony is really taking a beating from losses of Ps3). Nintendo has now built something bigger and better and to compete in this environment there will be losses.

[10k]

Apparently you and nintendo have not been living in this recession. There's reports all over the net showing nintendo currently losing hundreds of millions. If current xbox360 controllers are about 40-50 with no touchscreen, imagine the cost of nintendo's new controller. It's practically an iPad/ereader, and the average anywhere from $80-$200(low-end) and nintendo controller uses NFC, adding to cost. Not to mention the Wii U itself is probably a $300 machine. There is no way Nintendo is going to try and sell a console to the masses for $500. In this environment Nintendo will have to take a loss per unit(at least for awhile). Sony and Microsoft has done this not because their stupid, but because they actually made next Gen consoles and had to except the price that came with it. Nintendo lagged behind using cheap hardware but good games to push the console. They can no longer get bye alone on this anymore. They are starting to see xbox 360 sales sore and theirs plummet. The only model is to build a big bad ass machine load it with features and put it on the market and hope that the games sell the machine. Microsoft and Sony took losses because they wanted to build something bigger and better than Nintendo, in hopes that the games would make up for the losses in the long run. It worked(for Microsoft at least, Sony is really taking a beating from losses of Ps3). Nintendo has now built something bigger and better and to compete in this environment there will be losses.

Agreed. Nintendo wont be able to sell this system for $500. But, even Nintendo's most powerful consoles for their time were always affordable and profitable. The wii u tablet doesn't need any silicon chips in it, as the console does all the streaming. The only thing that costs a lot is the touchscreen (which is resistive so it's cheaper than OLED). The Upad might be $80 and the console itself may cost $300 so around launch I expect a $400 price tag.

Don't get me wrong, as a consumer my wallet would love for Nintendo to sell this at a loss so I could afford it and used the saved money for mor games.

[Gameboysoadvance]

Agreed. Nintendo wont be able to sell this system for $500. But, even Nintendo's most powerful consoles for their time were always affordable and profitable. The wii u tablet doesn't need any silicon chips in it, as the console does all the streaming. The only thing that costs a lot is the touchscreen (which is resistive so it's cheaper than OLED). The Upad might be $80 and the console itself may cost $300 so around launch I expect a $400 price tag.

Don't get me wrong, as a consumer my wallet would love for Nintendo to sell this at a loss so I could afford it and used the saved money for mor games.

I agree 100%

[Soul]

No, It will be cheaper than 400. 350, I believe. Console 300$ Controller 50.

[thatnameistaken]

I'm expecting no more than $350 (U.S.), $300-$320 ideally.

[Lain]

Um, Nintendo never takes losses on their consoles, never have, never will.

Just wanted to post that they do and they have taken losses on consoles. If Nintendo believes they can make up for any losses, they will take a loss. I don't believe they have taken the PS3 heavy loss-leader approach with any of their consoles though. If Nintendo's DD services become as lucrative as LIVE, I can see some chance of Nintendo taking losses on their next console (if they decide to go a very high-end route).

[Bill Cipher]

Just wanted to post that they do and they have taken losses on consoles. If Nintendo believes they can make up for any losses, they will take a loss. I don't believe they have taken the PS3 heavy loss-leader approach with any of their consoles though. If Nintendo's DD services become as lucrative as LIVE, I can see some chance of Nintendo taking losses on their next console (if they decide to go a very high-end route).

Truth. They did that with the 3DS price cut, and they may do that with the online.

About price, I'm going to go for broke and say it''s going to be between $270-$320.

Edited by Domini N Unova, 27 January 2012 - 04:23 PM.

[Lain]

They sold the Gamecube at a loss too, hence the "they have" part. And it's possible the same may have occurred with the Nintendo 64 too, but I got no numbers there.

And with the investor's briefing over, I think Nintendo may be releasing the next line of 3DSes - You know, the revision. I kinda expect them to sell those at $200. I also expect they use them to mitigate any damages made on any potential Wii U losses.

[YoshiGamer9]

i say console 300 and the controller.... eh 30? i hope that wii u will use two controllers and have AWESOME launch titles and midnight launch and include a game like Wii u sports resort Ultra! or something

[Gameboysoadvance]

Just wanted to post that they do and they have taken losses on consoles. If Nintendo believes they can make up for any losses, they will take a loss. I don't believe they have taken the PS3 heavy loss-leader approach with any of their consoles though. If Nintendo's DD services become as lucrative as LIVE, I can see some chance of Nintendo taking losses on their next console (if they decide to go a very high-end route).

Remember Virtual Boy?......big,big,big LOSS:(

[NovusRex]

I'm guessing it will cost around €350 euro. The console seems rather innovative and it's really a major improvement (graphics wise, controller wise) over the Wii. I remember the PS3 coming out for €600,-, which is a darn lot. It was at that time the most powerful console and that was reflected in the price. They had to sell it with loss.. I'm quite sure the production costs will be lower than the PS3 at that time, but I can't imagine the gap being any smaller than €150,-, also with the new controller in mind.

I'll probably buy it right away if it's between €300,- and €400,-, but I certainly will not go any higher. I can't spend that much and the games themselve are idiotic expensive aswell.

[Marc]

Remember Virtual Boy?......big,big,big LOSS:(

Taking a loss on something that has commercially failed doesn't really stand up to the mark in this debate. It is clearly all about the 'potential' price-cut soon after a console is released. This is to ultimately make a success out of its life-cycle when considered against its competitors in the market place. It is a strategy in hope of achieving long-term sales. If actual console sales rise much-farther beyond a point where it is deemed a 'successful' campaign, Nintendo are surely making a commercially successful product.

The 3DS is 'arguably' on the way to becoming a commercial success, but could also be considered 'on the fence' in regards to this. The DS had a similar story whilst still gathering global sales after its launch period thinned out, but since it ended up a massive success, we should all be confident that Nintendo know by now how to handle the launch of their own hardware. Whether at a point, a console is making a loss or not, yet is still sustaining momentum so to drive the product further into the market, Nintendo will still be making games + hardware for another 50 years.

[Tony Bradshaw]

Already posted previously to this thread but I believe that EB Games $599 AUS price tag may actually be correct. The technology involved in the making of the Wii U far surpasses that of it's predecessor.