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Wii U  (Source: Engadget)
The company also revised 3DS sales expectations from 18 million to just 13.5 million units sold

While gamers have spent months comparing the new Xbox One and PlayStation 4 consoles before and after their November releases, Nintendo's Wii U remains forgotten, as if it doesn't even qualify to be apart of the console race. 

A new statement from Nintendo has made this point even clearer. The game company announced that its anticipated units sold from April 2013 to March 2014 will be changed from a previous 9 million to just 2.8 million. 

This represents a staggering 69 percent drop. Wii U software doesn't look any better, with sales expectations falling from a previously-reported 38 million to just 19 million. 

But at least Nintendo still has the 3DS handheld system to fall back on, right? Wrong. The company also had to revise those sales expectations, dropping from 18 million to just 13.5 million units sold. 

As for the original Wiis, Nintendo is cutting their sales expectations from a previous 2 million to 1.2 million. 

With so many sales revisions, Nintendo is also decreasing its financial forecast, which includes a loss of 25 billion yen ($240 million USD) -- down from a previously-reported 55 billion yen profit. 

Nintendo CEO Satoru Iwata said in an interview that Nintendo will have to make some major changes, possibly including an entirely new business structure. The company is looking to focus on mobile devices like smartphones, reportedly. 

Iwata attempted to explain his company's financial and sales shortcomings in a statement you can read here, but this is just a taste:

Giving a detailed explanation on our sales performance in and leading up to the year-end sales season by platform, Nintendo 3DS continued to show strong sales in the Japanese market. The unit sales for Nintendo 3DS in the previous calendar year amounted to approximately 4.9 million units, falling short of our aim of five million units by a small margin. However, as I explained before, given that every gaming device from the year 2000 onwards apart from Nintendo DS and Nintendo 3DS did not reach sales of four million units even in their peak years, we can say that the sales figure for Nintendo 3DS in the last calendar year was indeed very high. However, outside Japan, while its market share increased as we continued to release compelling titles throughout the year, Nintendo 3DS did not reach our sales targets in the overseas markets, and we were ultimately unable to achieve our goal of providing a massive sales boost to Nintendo 3DS in the year-end sales season. Using the U.S. market as an example, Nintendo 3DS became the top-selling platform in the last calendar year, according to NPD, an independent market research company, with its cumulative sales exceeding 11.5 million units; however, the estimated annual sales of the Nintendo 3DS hardware remain significantly lower than our initial forecast at the beginning of the fiscal year. In Europe, while the individual markets showed different results, France was the only market in which we experienced relatively strong sales, and we failed to attain our initial sales levels by a large margin in other countries.

Wii U sales, on the other hand, showed some progress in the year-end sales season as we released various compelling titles from the summer onwards, launched hardware bundles at affordable price points and also performed a markdown of the hardware in the U.S. and European markets; however, they fell short of our targeted recovery by a large margin. In particular, sales in the U.S. and European markets in which we entered the year-end sales season with a hardware markdown were significantly lower than our original forecasts, with both hardware and software sales experiencing a huge gap from their targets. In addition, we did not assume at the beginning of the fiscal year that we would perform a markdown for the Wii U hardware in the U.S. and European markets. This was also one of the reasons for lower sales and profit estimates.


Source: Nintendo



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RE: I give it to Nintendo...
By inperfectdarkness on 1/18/2014 7:40:56 AM , Rating: 2
This. In my opinion, the one thing missing for the Wii U is DS game compatibility. They will start selling like hotcakes if Nintendo offers this feature.

I really don't get the Nintendo hate. Nintendo--in the 30 years they've been in the home-console market--has done more to innovate than all of its competition COMBINED. Don't make me break out the history books.


RE: I give it to Nintendo...
By karimtemple on 1/18/2014 11:35:47 AM , Rating: 2
You'll note that I have not once said that I hate Nintendo, nor said anything that could even be loosely construed that way. I'm just trying to explain that the GamePad is the downfall of the Wii U . It's this decade's Virtual Boy. And that means, no, DS games would not save the Wii U.


RE: I give it to Nintendo...
By The0ne on 1/20/2014 2:59:39 PM , Rating: 2
The hate is from consumers who think they know it all but sadly it's not from research or in depth knowledge of the market. They're gamers that really can't appreciate what it means to game, the technology behind it and the "potential" it can have.

Wii U is suffering because it lacks 3rd party support and in games. You can't expect consumers to want to buy a console when there are hardly any choices for them to choose from. And the longer you prolong this mistake, which they are still doing, more consumers will move elsewhere for their needs, as is in this case. Worst of all you allow competitors (phones, tablets, consoles, porn, D&D board games, etc.) to come in and take marketshare away.

Strategically I think the release was good. The execution was, to say the least, extremely poor. At this point they are expecting consumers to buy the Wii U for their re-released retro games. This should be secondary as a support feature, not a main selling point. Then again, Earthbound :D

In my opinion, Wii U is doomed to it's fate unless Nintendo can come up with more support and quicker releases. There are far way more options for any one consumer to digest and satiate themselves to wait for Nintendo to please them as in the past. I call it arrogance myself but that's just me.


"If a man really wants to make a million dollars, the best way would be to start his own religion." -- Scientology founder L. Ron. Hubbard











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