Nintendo 3DS

[Vallen Chaos Valiant]

Originally Posted by GDB

They don't need to sell a slim version. They can easily keep it the same size and make features better (light, screen protection, whatever). Maybe fix that pesky low strength battery?

And it won't sell at a loss forever. Technology gets cheaper over time, so it's only a matter of time before it sells at a profit.

Yeah, but sales also drop over time, so the longer it takes to make a profit on sale, the less it would benefit the company. And by then there would be 3DSi or something, which might also have to be sold at a loss if they don't have enough faith in it.

[Sides]

Originally Posted by -Sho-

Wow , glad that i didn't buy it yet. I'll wait Winter to see if it'll drop again then might buy it.

Doubt there will be another drop form nintendo, but retailer might do some deals, during the festival season, but losses are suck up by themselves.

I think it is a good thing for consumers.
Hopefully this mean sony will put down the price for the psvita, €200/£179 and i am in.

[GHDpro]

Originally Posted by Sides

Wow 3DS sold at a lost now, or in couple of weeks time. The last time this happend was with the Cube, for a duration.
3DS sold at 25000JPY generated a profit, but at 15000JPY it will make red numbers. Not sure if a massive 10000JPY cut is that smart.

Er no, the 3DS has not and probably will still not sell at a loss. What changes for Nintendo is a huge profit margin on hardware sales to a much, much smaller profit margin. But probably still a profit.

http://www.gamasutra.com/view/news/3...als_Report.php
(Do not forget to read the last paragraph in this article)

[Alexus_Z3]

Supply chain research firm IHS iSuppli found in a preliminary estimate that the total bill of materials

IHS iSuppli also noted that the bill of materials and manufacturing cost do not take into account "soft" costs associated with the 3DS, including software, licensing, royalties and other non-hardware costs.

+++++++++++ R&D, marketing, channel distribution, assembly, transport, retail, software,manufacturing costs (wages etc etc), labour, storage, shipping, tax, PR & advertising

Each system is probably worth around $200.....

[Vallen Chaos Valiant]

Originally Posted by GHDpro

Er no, the 3DS has not and probably will still not sell at a loss. What changes for Nintendo is a huge profit margin on hardware sales to a much, much smaller profit margin. But probably still a profit.

http://www.gamasutra.com/view/news/3...als_Report.php
(Do not forget to read the last paragraph in this article)

The last paragraph of the article you just told me to read, told me 3DS is likely sold at a loss. So I don't know what you are trying to say.

The cost of the components only matter if you can buy them yourself and assemble it at home. Otherwise the soft costs are everything. Soft costs are also, importantly, usually risen with inflation. So it would not go down much over time, while the hardware cost might.

[Sides]

Originally Posted by GHDpro

Er no, the 3DS has not and probably will still not sell at a loss. What changes for Nintendo is a huge profit margin on hardware sales to a much, much smaller profit margin. But probably still a profit.

http://www.gamasutra.com/view/news/3...als_Report.php
(Do not forget to read the last paragraph in this article)

Hmm.. IHS iSuppli are just doing some guess work and the material bill is really vague. It even says it is just a preliminary analysis, so they themselves have no clue. I really doubt the numbers/costs from the japanese supplier are confirmed.
Pretty sure a boxed console out of the assembly line costs more than the estimated $100, and that is without the licensing, royalties and other costs as gamasutra states.

[Vallen Chaos Valiant]

Originally Posted by Sides

Hmm.. IHS iSuppli are just doing some guess work and the material bill is really vague. It even says it is just a preliminary analysis, so they themselves have no clue. I really doubt the numbers/costs from the japanese supplier are confirmed.
Pretty sure a boxed console out of the assembly line costs more than the estimated $100, and that is without the licensing, royalties and other costs as gamasutra states.

And with Chinese Yuan rising, this would only get worse. But since this applies to all the competitors as well, that isn't as big an issue as deliberately selling at a loss.

[GHDpro]

Okay, okay, you guys win -- at least for 3DS sales after the price cut.
(http://www.andriasang.com/e/blog/2011/07/29/3ds_losses/ -- note that it says "will incur" and not "has incurred")

But before the price cut the system was most likely sold at a profit (if R&D costs are not factored in, as those will probably take a few years to recuperate). The Wii is a different story though.

[Sides]

Just noticed that Super Pokémon Scramble is/was actually pushed back to the 11. August 2011, original release date was actually today.
Lets see, price drop and a popular IP with kids, it should move some units in japan.

[Hiroi Sekai]

20 free games? 10 VC and 10 GBA? Nintendo, you need to send a rep to my house for hugs. I know you're not ones to do this, but if they turn out to be budget crap titles, that person you send might not come back.

[Sides]

Originally Posted by papermario13689

20 free games? 10 VC and 10 GBA? Nintendo, you need to send a rep to my house for hugs. I know you're not ones to do this, but if they turn out to be budget crap titles, that person you send might not come back.

Correction, i think it is 10 nes/famicon and 10 GBA titles.

Game Boy Advance (10 titles total)

- Yoshi’s Island: Super Mario Advance 3
- Mario Kart: Super Circuit
- Metroid Fusion
- Wario Ware Inc.
- Mario vs. Donkey Kong
- +5 unannounced games


Nintendo / Famicom (10 titles total)

- Super Mario Bros.
- Donkey Kong Jr.
- Balloon Fight
- Ice Climbers
- The Legend of Zelda
- +5 unannounced games

If japan get mother 1+2 and 3, i would be so annoyed....

[Hiroi Sekai]

Those are the NA titles? 5 unannounced games is often not good, but seeing the other titles, I have hope. It'll be good to play these games again.

[Asrialys]

Here's to hoping for the first Fire Emblem on GBA...

[Hiroi Sekai]

Originally Posted by Asrialys

Here's to hoping for the first Fire Emblem on GBA...

Here's to hoping indeed. Fire Emblem was a fantastic game but didn't sell nearly as much as it should have. I'm doubting Nintendo will release it as a download.

[Vallen Chaos Valiant]

Originally Posted by GHDpro

Okay, okay, you guys win -- at least for 3DS sales after the price cut.
(http://www.andriasang.com/e/blog/2011/07/29/3ds_losses/ -- note that it says "will incur" and not "has incurred")

But before the price cut the system was most likely sold at a profit (if R&D costs are not factored in, as those will probably take a few years to recuperate). The Wii is a different story though.

We all know the original 3DS was sold at a profit. Nintendo DID say they sold 3DS at a premium price because of the critical response at the reveal. They just don't realise pushing the release date earlier caused a lack of games.

[Westlo]

Originally Posted by serenade_beta

Glad to see your desperate (inaccurate) negative campaigning as usual.

Whatever makes you feel better.

But the facts speak for itself.

Shareholders are not happy
Less than stellar sells
Massive pricecut so soon after the systems launch
3DS to be sold @ a loss which is something Nintendo don't do period

Oh and supposedly announced this during the Shareholders meeting.

gibbogame David Gibson
Iwata taking responsibility for 3ds,, taking 50% salary cut and other execs 30% cut, reduced bonuses too
53 minutes ago

Spin that.

It's a panic/desperation move period, they didn't even wait for Mario Kart and 3D Mario, they clearly overestimated how strong a lure 3D without glasses was and they haven't manged to tap into the userbase who bought the DS that wasn't core....

Whatever, just close your eyes, cover your ears and pull out your Reggie hugging pillow, its all good. Speaking of Reggie he needs to get a salary cut as well, Microsoft have kicked his ass in America for the last 10 months and NOA release schedule is a joke.

[Sides]

Originally Posted by Westlo

It's a panic/desperation move period, they didn't even wait for Mario Kart and 3D Mario, they clearly overestimated how strong a lure 3D without glasses was and they haven't manged to tap into the userbase who bought the DS that wasn't core....

Well they did hold back the release for pokemon scramble, which is now released on the day the cut will take place. Fact is handhelds are mainly used by kids and arguably 25000JPY is a hefty price for this age group. it doesn't really matter if it has touchscreen, 3D or what not, if this group cannot afford it you are doomed.
You can call it panic move, or it is actually a smart move, to reposition themselves according to their core market?

[Vallen Chaos Valiant]

Originally Posted by Sides

Well they did hold back the release for pokemon scramble, which is now released on the day the cut will take place. Fact is handhelds are mainly used by kids and arguably 25000JPY is a hefty price for this age group. it doesn't really matter if it has touchscreen, 3D or what not, if this group cannot afford it you are doomed.
You can call it panic move, or it is actually a smart move, to reposition themselves according to their core market?

As I said earlier, Nintendo clearly made a mistake pricing 3DS at a premium it didn't deserve. They got greedy, thinking they can ignore the bad economy.




***
On another note, as I also said earlier, I am sick of the news media trying to spin it as a victory to smart phones and ipad. It is getting so bad that I might have to punch someone if they say something like that to me. 3DS has problems, that's why it didn't sell. It has nothing to do with Angry Birds. Yet I get that kind of rubbish argument everywhere online.

[Leo Keichi]

I think the point is, people are waiting until they release more games for the 3DS. Only after a new Dragon Quest or Mario or Pokémon is when the sales will start to increase. The DS has a good library of games already, so nobody is feeling the need to "upgrade" their systems for now. Nintendo is being impatient, but maybe they're afraid of Vita's release.

Originally Posted by Vallen Chaos Valiant

It is getting so bad that I might have to punch someone if they say something like that to me. 3DS has problems, that's why it didn't sell. It has nothing to do with Angry Birds. Yet I get that kind of rubbish argument everywhere online.

Nah, Angry Birds is the future of gaming.

[Angelic Cross]

Originally Posted by Westlo

3DS to be sold @ a loss which is something Nintendo don't do period

Wrong. The NES was sold at a loss when it first came out in NA (don't recall if that was true of the Famicom). Also, when they dropped Gamecube to $99, its manufacturing costs was still high enough that it sold at a loss for a time.

Less than stellar sells.

So you consider 3DS hardware and software sales to be horribly worse than sales of the original DS' hardware and software sales in the same time period (starting from their launches)? I'm just curious, actually, since your tone makes it sound like it's on the level of Virtual Boy and that this is going to kill the company.