Company CEO Satoru Iwata says firm "won't make the same mistake" as 3DS with upcoming home console.
The Wii U will be on store shelves in about six months, and one of the largest questions surrounding its launch remains unanswered: How much will the system cost? In an interview with Japanese newspaper Yomiuri Shimbun (translated by Andriasang), Nintendo CEO Satoru Iwata did not reveal a firm price for the console, due worldwide this holiday season, but said it will be sold at a "reasonable" rate.
"We won't make the same mistake that we did with the 3DS, which was considered relatively high by consumers," he said.
The 3DS launched last March at $250, but after a sluggish start, Nintendo cut the portable's price down to $170. Regarding the future of the handheld, Iwata said, "We've fixed the 3DS profitability issue, and pledge to turn profitable by the end of this fiscal year."
Though Nintendo has kept the Wii U's official price tag under wraps, reports about its cost have come to light. In April, sources reportedly involved with manufacturing and distributing Nintendo products said the Wii U would cost no less than $300 at launch.
Earlier this month, Wedbush Securities industry analyst Michael Pachter said the Wii U must sell for under $300 at launch, noting an optimal price for the system would be $250. The industry diviner expressed uncertainty regarding the system, saying it lacks a "killer app" to help drive initial hardware sales.
The one saving grace for the WiiU is that it also uses the Wii control media. So if you still have a wiimote or Classic Controller Pro you can use it. That withstanding, I'm calling it. The WiiU will be priced NO more than $350 USD. They have to price it there to compete, especially since Microsoft plans to release the Xbox 720 at $299.
Would be nice, but the information would be embargoed under pain of death!! if Sony or MS got hold of the info they could use it to bury Nintendo in the next gen, the guy who leaked the pic of the final configuration of the controller was lucky to only loose his job.
Why would I buy this when I own a PS3? What's the incentive? Better graphics, sounds, or games? How expensive will it be once you buy the new Wii board, controller, fitness accessories, steering wheels etc?? Nah mate, I'll keep my money in my pocket.
It seems that whenever somebody keeps something a secret these days, they are accused of something sinister or simply "not good". I personally think that Nintendo is hiding information to keep it's competitors from beating them out. And I don't see anything wrong with that.
@craigprime There are no competitors to beat out. Both Sony and Microsoft said they won't even reveal their next systems until E3 2013. Nintendo just has to make enough profits and adjustments to make full use of that 6 month lead properly and not drop the ball. The WiiU is the N64 of the current generation, tons of potential but it's ultimately up to the developers if they make it successful or not.
You know it's great and all it's gonna be 'reasonably priced' but still disturbs me is the fact that we don't KNOW what this 'price' is.....
Frankly I don't get all the secrecy on not letting people know how much this thing is gonna run them. They're saying this system is due out around the beginning of the holiday season--well I'd sure as hell hope they don't wait too late to tell people the cost, if they expect people to go out and buy it. In this economy many are watching their budgets or seeing if something can or can't fit into it (I know I am).
I guess I can only assume they're gonna wait until TGS (Tokyo Game Show)--which is in September--to say something about price, unless they choose another event sooner (can't remember if they're is another one, Gamecom maybe?). I won't expect them to wait any later than that.
Maybe they're being tight lipped on the price to prevent Microsoft or Sony from doing a price drop(again) on their current consoles to compete with the WiiU launch. That's something I would do because more than likely, people who really want to buy the WiiU, will buy it regardless just like the people who bought the PS3, or the 3DS at launch.
This is a funny statement coming from Nintendo. MS & Sony sell their systems at a loss and recoup with software sales. Nintendo sells everything with a markup for profit and they are trying to promise a reasonable price. Its hard to believe. What they probably mean is that its a reasonable price based on the value they perceive their product to offer.
@xcollector MS & Sony has other avenues for income, Nintendo doesn't...so of course they have to make sure their consoles makes profit. Of course if going to be what they perceive their product's worth & also how much the market will handle. If the price were left to consumers they'd be bankrupt already so would MS/Sony.
It's hardly fair to make an argument based on the company because Sony sells TV's PC's, Home Audio centers, In car stereos, speakers, MP3 players, and the PS3. Nintendo only makes video game consoles/games. If the Playstation brand was its own company I don't think the figures would be that bad if even bad at all.
FYI my PS3 collects dust in my living room.(I'm not biased to Sony's well being)
@RAHBRT You realize that when the PS3 was first released it put all of Sony in the red. They fired everyone associated with the PS3 including Ken Kutaragi. It lost Sony ton of dough. It would probably would have been killed if it did not serve as a vehicle to beat Toshiba and HDDVD.
@RAHBRT But when you news like this it makes the whole of Sony look like it's in disarray. Maybe what they need to do is change branding or something:
The questions for management at a Tokyo convention hall this week were familiar ones, but only growing harsher. How is Sony Corp. going to regain its past glory? Is Sony finished? When is the red ink ever going to stop?
One man got up and began shouting. One by one, shareholders demanded to know why management didn't have more fresh faces, asked if the quality of Sony products was dropping, and even wondered whether Sony faced the risk of total collapse.
@Vickman178 The reason Gamespot keep linking Pachter's article (from the same editor if you might notice) is because they do not have anything else to report; so, it is normal to see fillers in articles like this. It is a way of trying to help the lack of information in this article with other information that might or might not have anything to do with the topic at hand.
In my opinion, I find that reiterating news like that (Patcher's prediction), will reinforce on consumers' mind what the WiiU retail price should be. Think of it like this: "the more you repeat something (a lie or not), the more people will believe it".
This can potentially create huge sales problems for Nintendo (and any company) regarding the unsure/undecided consumers that expect the price to be lower or equal than $250. On top of that, there is already a heavy negative sentiment against this console, from media, developers and gamers (fanboys or not), that do not help at all since this console has not even come out yet.
@Maxwell6464 I was actually going to ignore @ChunkyDrawers comment since it was extremely ignorant; but he is just repeating the same propaganda that has brainwashed the gaming community into believing that Nintendo should be the cheapest console out there..... yep even if it is a next generation console.
Unless Iwata hire some Oompa-Loompa to build the console for free, then I guess Nintendo can sell the WiiU for $179.99 and even lower.
So, according to you (if I am not misunderstanding you) is that the 3DS cost $100 to manufacture? Maybe all of the components of the 3DS will cost around $100.... and I say maybe because I could not find anywhere how much the components will cost. Moreover, you still have not added many other expenses: such as taxes, interests rates, plus manufacturing cost, etc.
Take a look at why Sony has not decided to cut the price of the Vita. Because, there is a high chance that $250 is 20% or higher than the actual cost of the device (assuming that currently they are not selling it at a loss or even), so reducing the price will mean that they have to find a break even number or go below that.... like the 3DS did.
Here are some of the many reports around the web that have confirmed that the 3DS it is actually selling at a loss (or even if you ask me) after the price cut. And I believe, this is the first time that Nintendo has sold a new console at a loss.
So you think that they should sell lower than what the Wii and older consoles have sold when they launched? Think about what you are saying.... take a moment and understand why Nintendo next console (or any other next console) would be priced higher than $250.00.
No offence, but you have no idea how hard it is to put a console together (and neither do I)..... and I am not talking about a super PC; I am talking about a dedicated gaming console.
Do you really think that MS, Sony and Nintendo just snap their fingers and a new console is created? Even if it is outdated technology (all 3 companies fall into this), there is a lot of expenses to cover such as: design, architecture analysis, software creation for it, manufacturing, dev kits manufacturing (several iterations of it) etc, etc, etc. Do you really think that they magically make that number up?
If you ask me I do not care about specs; IMO, it is necessary for the better of the games, but unfortunately it has been blown out of proportion; and many people, developers, journalist, gamers, etc, do not understand that if the consoles have the same spec as the PCs of today, then the gamers will have to pay a huge amount of money (yes more than when the PS3 came out x 3).... and not only that, manufacturing companies will have to keep up with new tech every year, and making new iterations of the console constantly.
@hitman047m4 Doesn't matter what they do. They've showed nothing to back up their claim on it been more powerful then the current system. So judging by what they've shown, what they claim it can do and their history, it works out to a fair $179.99-229.99. Anything above that is gouging a bunch of suckers unless they start to show something. You can't sell it with Pikmin and childish theme park games.
Sounds like when my customers want a quote and ask for a "good price", I usually say good price for you or good price for me? Maybe now I will tell them they will get a "reasonable price" Hope history won't repeat it self with big N this time. Hope they get it right and it sells. It just won't be in my future.
There is no way in hell that they'll sell it for over $300. $300 is the mass-market price point. Nintendo knows this. They tried to sell the 3DS at $250 and it wasn't selling well enough, so they dropped it. Trying to sell the Wii U above $300 would be making the same mistake.
@rarson Agreed. Even more so when you consider both the 360 & PS3 are well below that price point. It'd be quite frankly a suicide move on Nintendo's part, unless that $350 price was for a bundle deal.
@rarson You maybe right but it just what i think my best guess. The cheapest tablet out their is what? $200-300 (don't know don't care for tablets) then the system has to be at lest $200-250. Combine the two and at best your looking at $275 and thats coming in low as Nintendo normally does they hope for a huge installs-base which they usually get because of nostalgia.