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Considering all the doom and gloom surrounding Nintendo, here's some positive thoughts from Jesse Divnich, an industry analyst with EEDAR:
I am not too concerned for Nintendo. Nintendo has consistently delivered high-quality products and I think we owe them the benefit of the doubt that they can once again retain the crown in profitability and hardware sales. They’ve stumbled before with the Virtual Boy and the Gamecube, and have easily bounced back with their next release.
But that said...
There are a lot of sunk R&D costs that really drive down profits right before a console launch. I believe this loss is a combination of the poor 3DS sales and the costs Nintendo is currently occurring with the Wii-U development. It does put a lot of pressure, however, on the Wii-U since Nintendo has never had two hardware products perform below expectations consecutively.
Of course, it's all a bit meaningless. Analysts don't know what's happening behind the scenes, so it's best to take it all - even the positive stuff - with little more than a passing interest.
View and comment on the full article at Wii U Blog
