Nintendo Wii U to be sold at a loss

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deactivated-57ad0e5285d73

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#51 deactivated-57ad0e5285d73
Member since 2009 • 21398 Posts
I have already pre ordered wiiu. Good to know I will have an ungodly futuristic microprocessor in the home.
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Mario1331

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#52 Mario1331
Member since 2005 • 8929 Posts

which means the tech isnt as old as we thought.

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resevl4rlz

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#53 resevl4rlz
Member since 2005 • 3848 Posts

that means instant priceut down the road

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ronvalencia

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#54 ronvalencia
Member since 2008 • 29612 Posts

This poster is in the know when it comes to the tech side of gaming:

"Controller based on educated guesswork probably costs around 35-45 dollars to manufacture.

People underestimate the cost of building a machine that has a lot of stuff inside it that they aren't aware of let alone all the stuff that they do know but that they think is suddenly a 99 cent part because its origin started in 2009 but didn't finish design until 2011."

No ifs and buts. Please. There are no hidden costs. No magic, no secrets, no bullsht. There is nothing negative to say about Wii U hw.

You can say it's underpowered, but then the price would have skyrocketed.

This is the penalty for praising Sony/MS last gen. Nextbox and PS4 will be severely underwhelming relative to the expectations of the average SW users OR Sony/MS will loose lots of money/marketshare by making their systems beasts.

The end.


SuperFlakeman

There are reasons why MS and Sony are looking at 100 percent AMD APU instead of AMD GPU + IBM CPU custom APU.

100 percent AMD APU can be subsidised by the X86 PC side i.e. AMD's ~50 million** annual units sales to spread the cost and reduce the CPU cost (i.e. remove IBM).

**AMD's PC X86 market share is around 15 to 18 percent of +300 million annual x86 PC unit sales.

Amiga PowerPC is also facing similar cost issues with unit numbers vs cost.

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ronvalencia

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#55 ronvalencia
Member since 2008 • 29612 Posts

which means the tech isnt as old as we thought.

Mario1331
Radeon E6760 is based on Radeon HD 6650M.
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Cherokee_Jack

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#56 Cherokee_Jack
Member since 2008 • 32198 Posts
"Loss leader" is a term some people apparently need to become familiar with.
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Mario1331

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#57 Mario1331
Member since 2005 • 8929 Posts

[QUOTE="Mario1331"]

which means the tech isnt as old as we thought.

ronvalencia

Radeon E6760 is based on Radeon HD 6650M.

english

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ronvalencia

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#58 ronvalencia
Member since 2008 • 29612 Posts

[QUOTE="ronvalencia"][QUOTE="Mario1331"]

which means the tech isnt as old as we thought.

Mario1331

Radeon E6760 is based on Radeon HD 6650M.

english

Current tech for mid-range PC laptops i.e. Radeon E6760 ~= Radeon HD 6650 ~= Radeon HD 7650M (renamed from 6650M).
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Zen_Light

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#59 Zen_Light
Member since 2010 • 2143 Posts

[QUOTE="SuperFlakeman"]This is the penalty for praising Sony/MS last gen. Nextbox and PS4 will be severely underwhelming relative to the expectations of the average SW users OR Sony/MS will loose lots of money/marketshare by making their systems beasts.

The end.


Giancar

a penalty for praising consoles that had great third party support? And that had proper online systems? Heck their library DESTROYED the Wii's one and it is a penalty...Gamers should go where the games go. And this gen, the Wii was not the road. (compared to the competition) I'll do the same next gen and praise the system, the one(s) that gets the better games not the brand, to the hell and back :D

You won't be able to hide behind the "third party support" next gen, since Wii U has caught up in the tech department. The other poster is absolutely right because the scenario he painted means Sony and Microsoft are "damned if they do, and damned if they don't", but less damned if they don't release over-expensive beasts that will end up like the Vita.

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jg4xchamp

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#60 jg4xchamp
Member since 2006 • 64057 Posts
How f*cking expensive is that controller?
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Giancar

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#61 Giancar
Member since 2006 • 19160 Posts

[QUOTE="Giancar"][QUOTE="SuperFlakeman"]This is the penalty for praising Sony/MS last gen. Nextbox and PS4 will be severely underwhelming relative to the expectations of the average SW users OR Sony/MS will loose lots of money/marketshare by making their systems beasts.

The end.


Zen_Light

a penalty for praising consoles that had great third party support? And that had proper online systems? Heck their library DESTROYED the Wii's one and it is a penalty...Gamers should go where the games go. And this gen, the Wii was not the road. (compared to the competition) I'll do the same next gen and praise the system, the one(s) that gets the better games not the brand, to the hell and back :D

You won't be able to hide behind the "third party support" next gen, since Wii U has caught up in the tech department. The other poster is absolutely right because the scenario he painted means Sony and Microsoft are "damned if they do, and damned if they don't", but less damned if they don't release over-expensive beasts that will end up like the Vita.

I don't need to hide from anything. Neither have the will to do so. Just thinking of such situation makes me laugh. I'm not the regular SW poster, I go were the games are. Simple as that. If the Wiiu is, I'll be there. Hide? wtf I laugh at the "penalty to Sony/MS praising last gen" expression. Those deserve it, when in fact were better systems (way better) than the Wii
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Mario1331

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#62 Mario1331
Member since 2005 • 8929 Posts

[QUOTE="Mario1331"]

[QUOTE="ronvalencia"] Radeon E6760 is based on Radeon HD 6650M.ronvalencia

english

Current tech for mid-range PC laptops i.e. Radeon E6760 ~= Radeon HD 6650 ~= Radeon HD 7650M (renamed from 6650M).

thank you:) thats more like it

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campzor

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#63 campzor
Member since 2004 • 34932 Posts
cant say i care...not having stock and everything... good for us customers...though there still will be those tight a$$ gamers complaining its still too expensive
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eNT1TY

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#64 eNT1TY
Member since 2005 • 1319 Posts
Nintendo needs to reassess their manufacturing contract or go with a cheaper sweat shop when possible.
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mariokart64fan

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#65 mariokart64fan
Member since 2003 • 20828 Posts

nintendo makes profit off games , that simple , the only reason wii was profitable day one was cheap hardware , wii u is more powerful then 2006 hardware , i wish people would understand that it can run games at full 1080 p at 60 fps current gen console can not do plus that controller , every thing adds up , the technology in that controller as well , the nfc or some thing , and how about the fact instead of 512mb like 360 has it has 2 gigs 1 for os 1 gig for gaming , thats double the ram for gaming use , and they may be able to free up some more later on ,

people said oh its not a next gen well double the ram proves its next gen , believe it or not , and you can bet by next year they will be profiting off hardware as hardware gets cheaper!

just like they took a loss on the 3ds at the start they are now profiting off of it ,

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#66 dobzilian
Member since 2012 • 3409 Posts
[QUOTE="Zen_Light"]

[QUOTE="Giancar"] a penalty for praising consoles that had great third party support? And that had proper online systems? Heck their library DESTROYED the Wii's one and it is a penalty...Gamers should go where the games go. And this gen, the Wii was not the road. (compared to the competition) I'll do the same next gen and praise the system, the one(s) that gets the better games not the brand, to the hell and back :DGiancar

You won't be able to hide behind the "third party support" next gen, since Wii U has caught up in the tech department. The other poster is absolutely right because the scenario he painted means Sony and Microsoft are "damned if they do, and damned if they don't", but less damned if they don't release over-expensive beasts that will end up like the Vita.

I don't need to hide from anything. Neither have the will to do so. Just thinking of such situation makes me laugh. I'm not the regular SW poster, I go were the games are. Simple as that. If the Wiiu is, I'll be there. Hide? wtf I laugh at the "penalty to Sony/MS praising last gen" expression. Those deserve it, when in fact were better systems (way better) than the Wii

You are a regular SW's poster, You sound like a small faction of haters who say "i go where the games are" but havent tried many of the brilliant Wii games that where released. Stop making on out you are something special Dude it doesnt suit you.
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DarkLink77

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#67 DarkLink77
Member since 2004 • 32731 Posts
How f*cking expensive is that controller?jg4xchamp
Well, considering it's basically a handheld... I'd say very.
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jg4xchamp

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#68 jg4xchamp
Member since 2006 • 64057 Posts
[QUOTE="jg4xchamp"]How f*cking expensive is that controller?DarkLink77
Well, considering it's basically a handheld... I'd say very.

Seems kind of risky on their part since they usually sell at a profit, but didn't the 3DS cost them some money? So I could see Nintendo bouncing back quickly.
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DarkLink77

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#69 DarkLink77
Member since 2004 • 32731 Posts
[QUOTE="DarkLink77"][QUOTE="jg4xchamp"]How f*cking expensive is that controller?jg4xchamp
Well, considering it's basically a handheld... I'd say very.

Seems kind of risky on their part since they usually sell at a profit, but didn't the 3DS cost them some money? So I could see Nintendo bouncing back quickly.

3DS was initially being sold at a profit, but not after the price drop. That said, I doubt they're selling it so far below cost that it will take them the better part of the generation to make money, ala Sony and the PS3. Frankly, I'm not worried about it because Nintendo has more money than God, and like you said, they'll probably bounce back from initial losses quickly.
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jg4xchamp

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#70 jg4xchamp
Member since 2006 • 64057 Posts
[QUOTE="DarkLink77"][QUOTE="jg4xchamp"][QUOTE="DarkLink77"] Well, considering it's basically a handheld... I'd say very.

Seems kind of risky on their part since they usually sell at a profit, but didn't the 3DS cost them some money? So I could see Nintendo bouncing back quickly.

3DS was initially being sold at a profit, but not after the price drop. That said, I doubt they're selling it so far below cost that it will take them the better part of the generation to make money, ala Sony and the PS3. Frankly, I'm not worried about it because Nintendo has more money than God, and like you said, they'll probably bounce back from initial losses quickly.

Mario as usual will sell like hot cakes, all it's going to take is good marketing. Because I feel like they've never properly marketed this thing so far. A lot of times they give off this impression like it's just an add-on
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DarkLink77

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#71 DarkLink77
Member since 2004 • 32731 Posts
[QUOTE="jg4xchamp"][QUOTE="DarkLink77"][QUOTE="jg4xchamp"] Seems kind of risky on their part since they usually sell at a profit, but didn't the 3DS cost them some money? So I could see Nintendo bouncing back quickly.

3DS was initially being sold at a profit, but not after the price drop. That said, I doubt they're selling it so far below cost that it will take them the better part of the generation to make money, ala Sony and the PS3. Frankly, I'm not worried about it because Nintendo has more money than God, and like you said, they'll probably bounce back from initial losses quickly.

Mario as usual will sell like hot cakes, all it's going to take is good marketing. Because I feel like they've never properly marketed this thing so far. A lot of times they give off this impression like it's just an add-on

Yeah, true that. I think a lot of it has to do with the name. The 3DS confused people because it sounds too much like the DS. The Wii-U has the same issue. It's also harder to market than the Wii was. The Wii just looked fun to play, and it was easy for people to understand. This is a little more complicated.
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KiZZo1

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#72 KiZZo1
Member since 2007 • 3989 Posts

That's bad - when you can't sell weak hardware at a profit, you know you're doing it wrong ...

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gamecubepad

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#73 gamecubepad
Member since 2003 • 7214 Posts

I'm sure it is just the initial start up cost of manufacturing the console and a mix of exchange rate inflation. That console does NOT cost the amount Nintendo is pricing it or more. Nintendo is making a net profit per console sale.ShadowDeathX

This is what I'm thinking. Isolate the actual bill of materials and it's something around $200.

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xhawk27

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#74 xhawk27
Member since 2010 • 12194 Posts

So Nintendo is going to have a one bad year from all the losses on the Wii-U.

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xhawk27

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#75 xhawk27
Member since 2010 • 12194 Posts

[QUOTE="ShadowDeathX"]I'm sure it is just the initial start up cost of manufacturing the console and a mix of exchange rate inflation. That console does NOT cost the amount Nintendo is pricing it or more. Nintendo is making a net profit per console sale.gamecubepad

This is what I'm thinking. Isolate the actual bill of materials and it's something around $200.

But you are forgetting Marketing, materials, etc.

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Ratchet_Fan8

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#76 Ratchet_Fan8
Member since 2008 • 5574 Posts
once mario comes out,they will be at break-even or cover em up.I see no trouble brewing
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#77 SuperFlakeman
Member since 2011 • 7411 Posts

[QUOTE="SuperFlakeman"]This is the penalty for praising Sony/MS last gen. Nextbox and PS4 will be severely underwhelming relative to the expectations of the average SW users OR Sony/MS will loose lots of money/marketshare by making their systems beasts.

The end.


Giancar

a penalty for praising consoles that had great third party support? And that had proper online systems? Heck their library DESTROYED the Wii's one and it is a penalty...Gamers should go where the games go. And this gen, the Wii was not the road. (compared to the competition) I'll do the same next gen and praise the system, the one(s) that gets the better games not the brand, to the hell and back :D

Uhm I was talking about the hardware itself.

You praise the level of horsepower & other hw functions.

PS3's software library would have been just as good even if PS3 was much weaker.

PS4 is fcked, hardware wise. It's just not gonna be able to output next gen engines at 1080p = huge disappointment for SW. The alternative is to have a beast console, but it won't sell well cus Sony needs to stay profitable day 1.

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Stevo_the_gamer

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#78 Stevo_the_gamer  Moderator
Member since 2004 • 50149 Posts
Is this a first for Nintendo?
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SecretPolice

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#79 SecretPolice
Member since 2007 • 45671 Posts

Is this a first for Nintendo?Stevo_the_gamer
For consoles, I think so but TBH, I'm not fully buying this line until they Officially release all info about this console which is another thing they never do. :o

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Giancar

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#80 Giancar
Member since 2006 • 19160 Posts
[QUOTE="Giancar"][QUOTE="Zen_Light"]You won't be able to hide behind the "third party support" next gen, since Wii U has caught up in the tech department. The other poster is absolutely right because the scenario he painted means Sony and Microsoft are "damned if they do, and damned if they don't", but less damned if they don't release over-expensive beasts that will end up like the Vita.dobzilian
I don't need to hide from anything. Neither have the will to do so. Just thinking of such situation makes me laugh. I'm not the regular SW poster, I go were the games are. Simple as that. If the Wiiu is, I'll be there. Hide? wtf I laugh at the "penalty to Sony/MS praising last gen" expression. Those deserve it, when in fact were better systems (way better) than the Wii

You are a regular SW's poster, You sound like a small faction of haters who say "i go where the games are" but havent tried many of the brilliant Wii games that where released. Stop making on out you are something special Dude it doesnt suit you.

Wanna a pic of my Nintendo Wii and my 10 + games? If I do so, will you put anything in your sig? Take is as a bet :D And I've praised Nintendo tons of times, but Wii isn't one of those. Teh horror
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Giancar

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#81 Giancar
Member since 2006 • 19160 Posts
have been just as good even if PS3 was much weaker.

PSuperFlakeman

Weaker how? Not putting the Cell and BR drive? Totally agree. Going into Wii territory? No way in hell. The 360 was perfect in that regard, $ 400 for a fairly powerful system for it's time. With no mumbo jumbo **** that Sony introduced. The only drawback is that they rushed it. But price/performance wise was perfect.

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SuperFlakeman

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#82 SuperFlakeman
Member since 2011 • 7411 Posts

[QUOTE="SuperFlakeman"] have been just as good even if PS3 was much weaker.

PGiancar

Weaker how? Not putting the Cell and BR drive? Totally agree. Going into Wii territory? No way in hell. The 360 was perfect in that regard, $ 400 for a fairly powerful system for it's time. With no mumbo jumbo **** that Sony introduced. The only drawback is that they rushed it. But price/performance wise was perfect.

Who said Wii? What about PS1 and PS2, for their time? Were they $800+ consoles, like PS3? Nope.

MS also sold 360 at a loss.That's why the price/performance "was perfect", duh.

Anyway the point is, Sony won't be able to sell at a loss this time around, so the play field is leveled.

Both Nintendo and Sony have to deal with the same currency exchange rate issue too.

MS has a massive advantage because a) they can sell at a loss and b) they don't have to deal with the currency problem. That's why I keep them out from the discussion.

But for Sony, it's either be weak to sell well, or a beast but again loosing out on marketshare.

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silversix_

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#83 silversix_
Member since 2010 • 26347 Posts
The controller will be sold at a loss. Six years old hardware cannot be sold at a loss when they're charging 300$.
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El_Garbanzo

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#84 El_Garbanzo
Member since 2012 • 296 Posts

Bumb this. What abunch of lies, this abomination cant be sold at a loss, pennypinched museum hardware, 480p single touch resistive screen controller (it's not a tablet) no hdd, made by kids in china LMAO at this thing

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DarkLink77

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#85 DarkLink77
Member since 2004 • 32731 Posts

Apparently, once they sell one game, they've made a profit.

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DontGetBigIdeas

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#86 DontGetBigIdeas
Member since 2012 • 252 Posts

Apparently, once they sell one game, they've made a profit.

DarkLink77

100% correct.

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DarkLink77

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#87 DarkLink77
Member since 2004 • 32731 Posts

[QUOTE="DarkLink77"]

Apparently, once they sell one game, they've made a profit.

DontGetBigIdeas

100% correct.

Yep, that's what I was referring to. Couldn't remember where I'd seen it, though.