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Nintendo: Just one game sale makes the Wii U profitable

Written by Andre Yoskowitz (Google+) @ 25 Nov 2012 0:39 User comments (5)

Nintendo: Just one game sale makes the Wii U profitable As Nintendo has confirmed themselves, they are losing money on every Wii U unit sold.
However, there is more to the story than that.

Nintendo of America president Reggie Fils-Aime has said this week that just one game turns the hardware loss into a profit for the company.

Fils-Aime says the company had to make the decision to sell the hardware at a loss in order to make sure the price tag was in the range of the casual gaming consumer. The Wii U itself could have sold for $200, most likely (if not cheaper), but the GamePad tablet controller added significantly to the retail price.

Notes the exec: "As soon as [they] get the consumer to buy one piece of software, then that entire transaction becomes profit positive. In the end, the business model is still to drive the install base of hardware, and then to drive a strong tie ratio with all of the other software and experiences for the consumer. And if we're able to do that, then we will create significant profit for the company."

There were 24 games launched for the U.S. on release date with 85 titles in total being confirmed with release dates ranging from now until February.

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5 user comments

125.11.2012 3:09

awesome report i love my wii u

225.11.2012 22:58

I played it during Thanksgiving and I thought it was amazing. I am planning on getting one. As soon as my budget permits. Lol

326.11.2012 18:31

Originally posted by DDR4life:
I played it during Thanksgiving and I thought it was amazing. I am planning on getting one. As soon as my budget permits. Lol
was curious to know which game/s you tried out that made you think it was amazing. BTW, im postng this using the wii u touch pad.

426.11.2012 18:50

Loving my Wii U, having a grand time with ZombiU.

528.11.2012 22:21

Originally posted by wolfniggr:
was curious to know which games you tried out that made you think it was amazing. BTW, I'm posting this using the Wii U touch pad.
Lol. I should probably clear up that I only played Nintendo Land, though the mini games were entertaining which, coming from Nintendo, shouldn't come as a surprise. By "amazing" I was referring to the fun & enjoyable aspects of the system, not cutting edge hardware and/or specs. Sorry for the confusion.

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