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Analysts say the 3DS is 'clear of the woods'

10:00 AM on 01.05.2012

Jim Sterling

Former Reviews Editor

Guys, Nintendo isn't doomed anymore like we all definitely said! A number of game industry pundits, including Michael Pachter and Jesse Divnich, have declared the 3DS to be in safe waters, with the system having cleared its initial bumpy start.

"It's very successful, but ran into a headwind given its relatively high price -- which I incorrectly thought was the right price - and lack of third party software support," said Pachter. "Now that we are seeing more first party titles at a lower price point, sales have increased. It's definitely turned the corner. I was surprised that it sold so few at the $249 price point, and its sales to date are exactly what I originally forecast at that price."

Divnich added: "With the strong rebound in 3DS sales, I think Nintendo is clear of the woods for now. Going forward, however, we will closely be paying attention to software attach rates. Selling hardware is great, but it is only the first step. The health of any hardware is directly correlated to the amount of software consumers buy."

Screen Digest's Piers Harding-Rolls said that in 2012, Nintendo will need to make serious competitive strides and not grow too complacent. Good advice for anybody, really.

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