Sunday, April 27, 2008

Nintendo: Wii Is Not Going to Lower Prices

In an analyst meeting on Friday, Nintendo President Satoru Iwata indicated that Nintendo had no plans to cut prices on its handheld or console gaming systems.

"Our earnings projection for the year is not based on hardware price cuts, and I don't think we are going to need them," he said.

The Nintendo Wii has had an MSRP of $250 since its introduction in November 2006. Meanwhile, both Microsoft and Sony have cut the prices of their Xbox 360 and Playstation 3 consoles, respectively, while watching the Wii far outsell either model.

The Wii is the cheapest of the current-generation video game consoles, and it has the least impressive graphics. However, the impressive sales of the console have been based on the "fun" of the games produced for it, as well as its innovative remote.

At the same time, last year Nintendo sold 30.3 million DS handheld units.

This year, however, at least in the U.S., Nintendo has another obstacle besides competition from other consoles and hand held units: the falling value of the dollar.

Source: Tech Ex