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Lack of software, eShop at launch caused 3DS price cut

Posted Aug 10, 2011 at 5:00PM EST by Carl B

Listed in: News Tags: Nintendo, North America, Reggie Fils-Aime

Nintendo-3DS-Home

Nintendo's Reggie Fils-Aime reveals the factors that led to the 3DS price cut.

"We have high expectations for (Pokemon Rumble Blast, out Oct. 24) and the two Mario titles (Super Mario 3D Land in November; Mario Kart 7 in December)," Fils-Aime said. "Certainly, we needed to have stronger support at the launch from a first-party perspective and maybe have some of these key first-party titles earlier in the launch window in order to get the system selling stronger at the start and, ongoing, drive momentum."

"Certainly we've seen very positive reaction to the digital offerings but it needed to be much sooner in the launch window. As a result that created a situation where the momentum wasn't sustained. And that's why we have now had to go back and reduce the price and reduce the price by a large amount in order to make sure we have stronger momentum beginning on Friday and powering through," he continued.

"It's a situation where we weren't able to sustain those first few strong positive weeks. This is a momentum business and when you don't have the momentum it creates a tough situation whether it's with retailers or with third-party publishers who become a bit more reluctant to support a platform."

via USA Today

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Actually, someone did a breakdown of all the components recently and estimated that the 3DS is manufactured for roughly $100-$120, though I don't know if that takes packaging and shipping costs into account. So I don't think it's sold at a loss, but certainly not as much of a profit anymore.

But yeah, opening a system up for piracy, especially one in its infancy such as the 3DS, is a sure-fire way to kill the system. Sure it may sell the system itself, but if piracy runs rampant, there's less incentive to develop for that platform. If no one develops for a platform, what good is owning the system outside of homebrew? I mean, I like homebrew, but man, a lot of those games are garbage.

+1 # RE: ... — DeltaDAWG 2011-08-11 11:53

That's just the components. Plus, like you said, shipping, logistics, packaging.

In addition to, labor to make the damn thing, all the cost involved in QA, the fat cost of creating it in the first place (R&D) which will get paid down over time....the list goes on and on...

I'm guessing it was sold at a break even point but after the price reduction it will certainly be sold at a loss then.

-1 # RE: RE: Lack of software, eShop at launch caused 3DS price cut — xnamkcor 2011-08-11 11:25

Most profit is from software sales. Opening it up to piracy would eliminate any long-term profit.

-1 # RE: Lack of software, eShop at launch caused 3DS price cut — Sucks 2011-08-11 00:28

Or was it the PSV being the same price?

-1 # Bottom line — dorkgeniuz21 2011-08-11 01:51

Bottom line, Nintendo needs to give us the software titles,estore download & 3d classics we want.Why not give us 3d classics of" link to the past,super mario bros 1 2 & 3, SUper mario cart snes & 64, Battletoads,F-zer etc.Those are the games we will shell out $7.99 for.Exit bike is cool but c'mon Nintendo.Then there is also that whole thing about making non 3d games for 3ds..lol..Thats like making non color movies for a color tv(why not show off what you made it for)

-1 # RE: Lack of software, eShop at launch caused 3DS price cut — reza666 2011-08-11 04:01

Then create new games instead of remakes.
And personally I hate to play old games so eshop sucks for me.

-1 # ... — Lightsource 2011-08-11 08:01

Then go download Shantae: Risky's Revenge from the e-shop. It deserves your money.

-1 # RE: ... — xnamkcor 2011-08-11 11:27

I'd say a glorified GBA game is something he would not enjoy.

-1 # ... — Lightsource 2011-08-11 19:38

His loss then. That game is awesome.

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