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Prints less money: Nintendo's first drop since 2004 photo

What goes up must come down is what those old man pessimists say when sh*t happens. And it did happen with the world economy, and that's why Nintendo is probably going to show a profit drop for this quarter.

Nintendo and their Wii and DS power have been kicking ass for about six years now, but market watchers expect profits to drop 11 percent, the first drop since early 2004. Wii console sales have been steadily declining, even with that recent price drop to $199. 

It remains to be seen whether sales will pick back up this holiday season. I'm thinking that everyone that wants a Wii already has one. Maybe some solid first-party games will help things pick back up.

[via GamesIndustry]


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30 comments | showing # 1 to 30

Super Drybones's Avatar - Comment posted on 10/20/2009 15:46
Super Drybones
@ mkshiranui
True, if "I'm thinking that everyone that wants a Wii already has one." were true then only hardcore gamers would buy the console. It's like saying "everyone who wants a PS2 already has one" yet they still sell.


Also Iwata sad makes people DIE!!!
Gilgamesh1317's Avatar - Comment posted on 10/20/2009 15:48
Gilgamesh1317
I'm not surprised, they've been going strong for years. They had to slow down eventually.
Nic128's Avatar - Comment posted on 10/20/2009 15:50
Nic128
When everybody owns one, don't get surprised you don't sell as much.
theswitcher's Avatar - Comment posted on 10/20/2009 15:53
theswitcher
I don't get it. "Market watchers expect..." means Nintendo's profits are factually, 100% down since 2004?
NoJ87's Avatar - Comment posted on 10/20/2009 15:55
NoJ87
The Wii has slowed pretty considerably, but the DS/i still sell pretty well. Either way, it's looking like they will have to start releasing new colors if they want sales to increase again (sadly, this tactic works >.>).
HEL105's Avatar - Comment posted on 10/20/2009 15:57
HEL105
In other words, they've only made 9 metric shit-tons of money, as opposed to 10?

I'm still going to get a Wii, eventually. I figure the longer I wait to get one of those and a PS3, the more good games will be available for low prices.
Hammersmith's Avatar - Comment posted on 10/20/2009 16:01
Hammersmith
The Wii needs better games. I've had mine for over 2 years and I own about 7 games for the system. Good games are so few and far between, its Gamecube all over again, except this time people bought it.
EternalDeathSlayer's Avatar - Comment posted on 10/20/2009 16:09
EternalDeathSlayer
The Wii has "slowed", not died out. It still sold more than the 360 last month in America, so it's doing fine. The problem isn't that they lost money; It's that shareholders aren't satisfied unless a company "grows" and makes even more money than the year before.

You can't have expected them to continue selling product at such a high rate forever. Either way, they're still printing money.
Shadowiii's Avatar - Comment posted on 10/20/2009 16:10
Shadowiii
@Hammersmith

There's tons of games for the Wii. Just none of them are for you. But know full well your mom, grandmother, and in-laws are all buying gallons of shovelware for their Wiis.
manasteel88's Avatar - Comment posted on 10/20/2009 16:15
manasteel88
@superdrybones
the wii isn't anything like the dsi where multiple consoles are bought per household and per person. generally everybody who does want one has one except for the people who don't have the money to buy it and/or can't buy one for themselves. Its also not like the PS2 where people are buying them as dvd players/game consoles or are buying them to replace their older/broken PS2s.

Profits for Nintendo aren't exclusively about consoles either. These reports could reflect an attitude towards software lineups (which Nintendo profits off of) as well. Hearing about how Dead Space Extraction, Xseed's games, and even Mad World lends many analysts to expect that the hardcore are leaving this console in droves to embrace future tech like the PS3 and 360, or are just not interested in investing on Nintendo software.

Either way if market analysts think the wii isn't doing too well after years of dominance is Nintendo's fault. Nintendo needs to keep share holders happy and investing, and I'm waiting for a press release or something exciting to come out from Nintendo.
Krow's Avatar - Comment posted on 10/20/2009 16:15
Krow
Hrm. I hope this trend continues. Not specifically because I want Nintendo to fail, more that I want to see a new focus on selling high quality games over shovelware. As much as I love my Wii, and believe me I do, I sometimes wish the ratio were just a little bit lower.
Super Drybones's Avatar - Comment posted on 10/20/2009 16:20
Super Drybones
@ manasteel88

I don't exactly get your argument. I never said it was like the DSi. also DVD players are really cheap now and the PS2 still sells so you kinda made my point. And the Wii outsells the xbox and ps3(until recently) almost every month, so a little slowdown doesn't mean everyone has one, or it would sell none.

anyway, I hope they make a big campaign for NSMBW, that should spark up sales.
RBinator's Avatar - Comment posted on 10/20/2009 16:28
RBinator
Well, there had to be a peck, so naturally, they could only go down. Either way, it sounds like a minor drop since they are still ahead in sales by far. As I thought, the price drop wouldn't make much of a difference due to the fad status of the Wii.

Still, the DS is pretty impressive for being able to print as much money as it did for five years. The old bird now finally seems to be showing signs of aging.
Crunshii's Avatar - Comment posted on 10/20/2009 16:35
Crunshii
Well with the DS nintendo has secured themself kings of handheld forever. Because every year, Nintendo releases a new DS(i) with a new add-on and resell it as brand new. Something the PSP will never catch on.

Only thing Sony can do for the hand held market is friggin release the PSP2 with the Cell chip! and release Ps2/PS3 quality games on the Go! and also add a internet connection thingy so I can play FF14 on the PSP2GoGoGo and I will buy one for $600.

So if Wii sales are down that means that Sony and Microsoft are scrambling for the left overs.
Cowboy TTop's Avatar - Comment posted on 10/20/2009 17:00
Cowboy TTop
I'm done caring to be honest, they made their bed, they can sleep in it. I knew Wii would do well, but there's been a huge cost, namely the hardcore gamer crowd. It didn't need to be this way, but by cutting costs, Nintendo cut our hearts out and jumped all over them.

Now you can eat it, Nintendo.

I'll buy a Wii, when they are in the sales.
EdgyDude's Avatar - Comment posted on 10/20/2009 17:20
EdgyDude
Had to happen sometime, even with the [urk=http://www.mywii.com.au/NewsDetail.aspx?id=4121]1800% sales rise on Amazon[/url] that is still a lot of money they still are making, the difference it's just that this year it's (a little) less that years prior which should be pretty normal considering they have been number one in sales for 3 years and the recession.

"Maybe some solid first-party games will help things pick back up"
Nope, maybe some solid THIRD PARTY games, which is what truly has been lacking during ALL those 3 years. Epic Mickey DOES seem like one of those though, so there is still (a little) hope
EdgyDude's Avatar - Comment posted on 10/20/2009 17:21
EdgyDude
FIX POST!

Had to happen sometime, even with the 1800% sales rise on Amazon that is still a lot of money they still are making, the difference it's just that this year it's (a little) less that years prior which should be pretty normal considering they have been number one in sales for 3 years and the recession.

"Maybe some solid first-party games will help things pick back up"
Nope, maybe some solid THIRD PARTY games, which is what truly has been lacking during ALL those 3 years. Epic Mickey DOES seem like one of those though, so there is still (a little) hope
Electrium's Avatar - Comment posted on 10/20/2009 17:50
Electrium
Instead of having 10 more cupcakes than everyone else, Nintendo will only have 9 more cupcakes. Darn.

But really, I could care less about sales as long as I have good games to play. Which I do, all across the board.
Conan-san's Avatar - Comment posted on 10/20/2009 18:00
Conan-san
Excuse me whilst I proceed to not give a damn.
GEMPadre036's Avatar - Comment posted on 10/20/2009 18:02
GEMPadre036
I don't trust analysts in most situations. That's not to say they aren't sometimes right, but they can only make educated guesses at best.
@Cowbay TTop
You talk as though the Wii is suddenly in the red. It is still the biggest moneymaker in the market right now for home consoles. Just because the Wii doesn't cater to your tastes, doesn't mean it has no dedicated audience. If you don't like the Wii, get a PS3 or Xbox 360. Both are fine consoles that are probably more attuned to your wants.
I personally don't think Nintendo "abandoned" the more experienced gamers. I point all blame for any supposed lack of games on the Wii at Third Party companies. Had they embraced the Wii earlier and made more of those types of games earlier on in its lifecycle, this would be much less of a problem today. Games like Madworld didn't sell as well because not enough people were interested in it. These people didn't buy a Wii at that point because they didn't see any games like this that interested them. It is a vicious cycle, and as much as the third parties whine about a lack of "Hardcore" Gamers on the Wii, they should have been making "Hardcore" games early on before those people decided that the PS3 and Xbox 360 would better provide for them. But because the assumed this little oddball console would fail, as predicted by analysts (See what I did there?), they decided to turn away from it and label Nintendo as having finally lost it. Turns out Nintendo, an old company that was apparently going the way of Sega, had come up with not just a unique console, but the most successful console of this generation.
Nintendo has been putting out as many games as it can that cater to both the more experienced gamers and newer gamers, but as much as I love my Wii, it is hard to sell a console based on just one company. If not for fact that this one company is NINTENDO, one of the most well loved, experienced, and prestigious gaming companies of all time, and a decent amount of good third-party games, the console would have died by this point. Without Nintendo taking steps to attract and supply games to this new demographic of gamers, all that would be there is some little-known console filled up with shovelware that not even the less picky newcomers would put up with anymore without a powerful central company to keep them enticed. With Nintendo, they see a higher standard of gaming. It is this that keeps them with the Wii. To say all Third Party companies and their games are this bad would be incorrect, but as far as the numbers go, the majority of them are. Perhaps when Nintendo releases their next console, which has been confirmed as HD for a long while, the third parties will finally raise their depressingly low standards.
Monodi's Avatar - Comment posted on 10/20/2009 18:09
Monodi
i still dont have on e but I doubt my single purchase would boost the sales much anyway. Does this mean it's time to work again, Nintendo?
Im OK's Avatar - Comment posted on 10/20/2009 18:16
Im OK
So they're only making a hojillion dollars now, as opposed to two or three hojillion. Poor Nintendo. They're fucking doomed. I feel so bad for them. I may even shed a tear or two.
PEICanada7's Avatar - Comment posted on 10/20/2009 18:52
PEICanada7
"Wii console sales have been steadily declining, even with that recent price drop to $199."

Ah what? The sales are up since the price drop, and there up over the last month as well. So the only way there down is year over year sales, but everyone was down in that department up until September. The profit drop will only be down to $2.7 billion, so lets not start crying for Nintendo just yet, I'm sure they'll be just fine.
matrixdude171's Avatar - Comment posted on 10/20/2009 19:00
matrixdude171
I'm suprised the drop is big enough to drop profit expectations, but raping a market for six years can do that.
PEICanada7's Avatar - Comment posted on 10/20/2009 19:26
PEICanada7
"I'm done caring to be honest, they made their bed, they can sleep in it. Now you can eat it, Nintendo."

LOL come back down to reality with the rest of us for a second. What bed do you think Nintendo is sleeping in? Besides one made out of $2.7 Billion! You're acting like Nintendo just went bankrupt, or something. For someone who says he's done caring about Nintendo anymore, you seem to getting some sick fanboy pleasure in hearing that they made a little less money this year. What exactly are they eating? Just because their profits are down over what they did for the last few years doesn't mean they're all of sudden in the red, or anything like that. So don't let the facts get in the way of your good made up story/fantasy.
Jonathan Holmes's Avatar - Comment posted on 10/20/2009 19:30
Jonathan Holmes
Fad OVER!

FINALLY!
Ball Buster's Avatar - Comment posted on 10/20/2009 19:50
Ball Buster
You mean I have to buy a second Wii now? Son of a...!
Comrade Snarky's Avatar - Comment posted on 10/20/2009 20:57
Comrade Snarky
Let's see that new Zelda game already. And Other M.
DinnertimeNinja's Avatar - Comment posted on 10/20/2009 21:19
DinnertimeNinja
Well, I didn't think the $50 price drop would spike sale much because I don't think the original price tag was really much of an obstacle for people.

$250 isn't terribly high for something you really want, and $200 fits in around the same mental price range.
Benny13's Avatar - Comment posted on 10/21/2009 02:43
Benny13
Like nintendo is hurting for money.
I'll take up a collection for them
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