Dear Reader:

You are viewing a story from GN Version 4.0. Time may not have been kind to formatting, integrity of links, images, information, etc.

Pachter - Nintendo 'got it wrong' with Wii U

by rawmeatcowboy
30 January 2013
GN Version 4.0
“I always thought Nintendo’s Wii U software forecast made no sense. They initially guided 24 million, are taking that down to 16 million, which is a 4:1 software attach rate. That’s reasonable, especially given that the installed base is 3 million hardware units now and the guidance implies they need to ship only 4.31 million more software units.

The hardware guidance is disappointing, and there isn’t really anything that will get hardware moving other than a price cut. I think they got it wrong with this console, it just doesn’t capture the imagination the way that the Wii did. The Wii U is not going to be very competitive if Sony and Microsoft launch comparable consoles at comparable prices. The early weakness will cause many third party publishers to re-think support for the Wii U, and we might not see much support at holiday 2013.” - Michael Pachter


Nintendo has returned to profitability, but they did say that the Wii U had a negative impact on that. I'm thinking Nintendo has high hopes for the big guns they announced in their Nintendo Direct. If that doesn't get sales going bigger, that price cut option might happen.

Link