Nintendo selling Wii U at a loss?

[CM30]

http://washpost.bloomberg.com/Story?docId=1376-MCBLWB6K50XU01-1QKUHEJ2OQTT78PSTPU6MBCDE9

Nintendo, why you doing this? It's not going to be like the 3DS launch here, you'll going to be able to sell the console quite well with the games included. Hell, New Super Mario Bros U alone will sell consoles at nearly any price.

You're just forgetting what made Nintendo so much money in the first place.

 

[KirbyZ]

The original Xbox was sold at a loss for most of it's time. Is just a business strategy. At one point all that console loss will become software gain.

 

[Moclon]

Is this a rumour, or 100% confirmed tho?

 

[ebstiv23]

Nintendo was the only one of the Big Three who never sold their consoles at a loss.

 

[Uzumaki Community]

Sigh.. I don't know why companies forget what made them so great in the first place.

 

[re11ding]

I'm not understanding something. What does it mean to sell at a loss?

 

[ebstiv23]

I'm not understanding something. What does it mean to sell at a loss?

Selling a console for less than it cost to produce. Basically if it costs $375 to make they are selling at a loss if they only charge consumers $350 for the console.

 

[re11ding]

I'm not understanding something. What does it mean to sell at a loss?

Selling a console for less than it cost to produce. Basically if it costs $375 to make they are selling at a loss if they only charge consumers $350 for the console.

Interesting. Thanks for the description. I would have never guessed thats what it meant.

 

[Audacity]

If they're selling at a loss, then that means we're getting more bang for our buck.

Good for us.

 

[Brunn]

This is a fairly common strategy for game console sales though isn't it? Get people to buy the console, and then make up all their money on game sales. I'm sure the console production costs just went up since they're trying to compete with everyone else's HD consoles.