Nintendo details how Wii U will become profitable

Mario maker says it plans to concentrate on releasing "key" first-party games and cutting costs to regain platform momentum.

The Wii U has not been the hot product that Nintendo hoped it would be. In fact, the platform has even had a negative impact on the Mario maker's overall profits for its latest fiscal year. But Nintendo has a plan to change that.

As part of its full-year earnings report today, Nintendo outlined a plan to return the platform to profitability during the next year.

First, Nintendo said it will "concentrate on proactively" releasing "key" first-party party titles during the second half of this year and through next year. This will help the platform regain momentum, Nintendo said. Delays in first-party software during the early stages of the Wii U hurt the platform's appeal, Nintendo said, promising long intervals between releases won't happen again.

The company called out new Mario Kart, Super Mario Bros., and Wii Fit games for Wii U, as well as Pikmin 3 and its two Legend of Zelda titles, as those that will help the platform return to profitability.

Nintendo is also developing a Super Smash Bros. game for Wii U, though no official update on this game has been provided since it was announced that Namco Bandai would be co-developing the game with Nintendo.

The company also said it will improve Wii U sales by "communicating the compelling nature of our hardware and software" through Miiverse, though Nintendo did not give any further specifics about this plan. Iconic Nintendo designer Shigeru Miyamoto previously admitted that demonstrating the novelty of the Wii U has been a "challenge" compared to the original Wii.

Lastly, Nintendo said it plans to reduce manufacturing costs in an effort to improve overall hardware profitability. No mention was made if this will lead to a price cut for consumers. Even if Nintendo does introduce a price cut, Wedbush Securities analyst Michael Pachter believes this will not help the platform's viability.

For more on Nintendo's full-year earnings, check out GameSpot's coverage of the announcement.

Written By

Eddie Makuch is a news editor at GameSpot, and would like to see the Whalers return to Hartford.

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Discussion

791 comments
0m39AX
0m39AX

How to turn WiiU profitable: forget about it, make another system. Powerful, with some GODDAM NEW IPs that aren't childish and politically correct. 

... wait. Nintendo has ALWAYS been politically correct. Funny, colouful games for the whole family. F*** it. 

Coolspot18
Coolspot18

Why is Nintendo always relying on the same childish games?

When are they going to release a Princess Peach Gone Wild game?

kmuypr
kmuypr

Did you know that the Wii U outsold the PS3/Xbox360  in the same amount of time (4 months after its release) ?   

Wii U - 2.6 million units worldwide

 PS3 - 2.4 million units worldwide

Xbox360 -  2 million units worldwide

Know your facts before you start talking shit!

Scarshi
Scarshi

You are advertising though Miiverse, which I don't have. How does this appeal to anyone without anything Nintendo to begin with? Are you only wanting up-graders?

Siddysss
Siddysss

So Nintendo's plan is to reboot all their IPs. Wow, same thing they do for every console. 

voljin1987
voljin1987

I would like to add a point to the above... In order to make the Wii U more successful, remove the firkking region lock

Hicks233
Hicks233

No interest in Mario or Zelda at all. How about something original?

rushiosan
rushiosan

Wii Fit and Pikmin, just what I was waiting for! /sarcasm

kreegan64
kreegan64

 Good to know that I'll be gettin' mario, zelda and the usual geddup, but what about the whole "all you'll need is Wii U this time" stuff? I'd like to know what they're doing about the whole 3rd party situation.

hall0559
hall0559

Dear Nintendo,

I am now 25 years older than when we first met. I have purchased no less than 9 Zelda Games, 9 Mario games, and 4 Mario Kart games in those years. Making more just isn't going to make me want to buy a Wii U and unfortunately you don't have any other exclusive games that I have enough (if any) interest in to justify the hardware purchase.

Sincerely,

Gamers Everywhere

xolivierx
xolivierx

I'm still not sure whether or not I want a WiiU. I'm waiting for more games. I was looking at the Wii U new releases schedule on the site and realized I was up to 2016 and there were still no games. Haaaaaaaaaaaaaaaaaaaaaaa...I'll not be getting a WiiU. Shame on you Nintendo for not being able to give me good games. On the positive side, I played Super Mario World on My TV through HDMI and emulator yesterday =)

ploomp89
ploomp89

Why is everyone comparing the Wii U to the Dreamcast?, about 60% of the people here do your research watch some youtube video reviews and understand things about the Miiverse, how original and light the controller is, i agree that the game line up should be better and im sure it will improve, the loading times still need to be made that bit faster, but dont go comparing Nintendos latest console to Sega's Dreamcast when we havent got alot of details on the new Xbox or Ps4 yet, seriously its a premature judgment, if you dont like Nintendo for their games, thats understandable everyone is entitled to their opinion, but dont go saying this isnt a next gen console based on being a fan of a particular brand its not cool ey.

EL_Bomberdor
EL_Bomberdor

I am a gamer and in all honesty from the everyday gamer like I am with no bias towards anything I have had 0% thought of ever buying or even considering a WiiU. I believe a lot of gamers could agree with me that they also haven't. Because of this I am influenced into believing the WiiU will struggle because personaly I am easily won over and the WiiU hasn't even made me turn my head in any shape or form.

Gravity_Slave
Gravity_Slave

"Nintendo details how Wii U will become profitable"

umm put it in a sack, beat someone senseless with it and take their money?

...bout all I'd want to do with it.

Utra
Utra

Personally i dont think the Wii U is a bad console, as i also did not dislike the dreamcast, yet they both have the same issue, too little too late, the Wii U is going to find itself in a lonly obsolete corner shortly as most newer titles are directed away from it in favor of the more powerful PS4 and (assuming) New Xbox.

Just like the Dreamcast before it, being released shortly before the PS2, GC and Xbox, it wasn't a bad console just not as good as its rivals, i would have thought Nintendo would have been smarter than to make this mistake, seriously another year in development, beefing up the processor ect, wouldn't have an issue, but as it stands it cant compete with this generation let alone the next.

MGSFAN612
MGSFAN612

My biggest problem is the price. Cut it to about 250 and I'll jump at it.

OMGMrTea
OMGMrTea

You guys realize that it is still quite premature to judge the WiiU so harshly? In the same amount of time counting from launch, the PS3 and  XBOX360 didn't sell as many units as Nintendo did with the WiiU, and nobody was talking shit about those consoles then. But now, everyone foresees the downfall of BigN, AGAIN...

You don't believe me? Check for yourself:

http://www.ibtimes.co.uk/articles/446576/20130315/wii-u-sales-outperform-playstation-3-xbox.htm

http://www.youtube.com/watch?v=1g_FDCPTJVg


ajay1708
ajay1708

Nintendo's biggest downfall with the Wii U is they launched it completely unprepared and premature. Lack of compelling Hardware running on dated technology is the least of there problems, but to launch a system with no quality software and have the nerve to slap a 350$ price tag on it is insane. Now they want to update it to fix the bugs which only proves there lack of preparation. To any gamer who would invest in a Wii U, I'll leave you with this. Take a long look at the console that you just spent over 400$ on when you include a game and ask yourself was it really worth it when you can just as easily buy a PS3 or 360 for almost 150-200$ less with similar and as of right now better graphics, better games, and more to offer. you just got ripped off by Nintendo and praise them as a means to justify your purchase. If your throwing money away like that then it's time to get your priorities together.


xavor01
xavor01

I don't have a Wii U yet because I think it's outdated and the control gimmick doesn't appeal, but I'm totally going to be the sucker who  buys one when Super Smash Bros and Zelda comes out.

AzatiS
AzatiS

Hahaha!!

Ok lets go again...

Mario smash bros , Super Mario bros , Mario Kart , Zelda Remake , Zelda Wii U , Wii FIT!! (rofl ) and pikmin ?!! ... Im AMAZED !! pitiful nintendo.

DaedraLord01
DaedraLord01

The Wii u is not this generation is crap

vicke32
vicke32

Well, it might be that it has [spoiler]nogaems[/spoiler]
If they simply made/released SMB(U or somethin- I JUST GOT WHY THE RUMORS CALLED IT UNIVERSE) I would buy the console in an instant.

michaelrjohnson
michaelrjohnson

I think that Nintendo may want to look at focusing on handheld gaming as they move forward.  Nobody questions their dominance in the handheld gaming market, and it is truly their strong point.  

The Wii U is the first home console that I have not purchased (Nintendo, Sega, Sony, Microsoft), going all of the way back to the NES days.  As a gamer, I just don't have any desire to play another Mario, Zelda or Metroid game.  If they can come up with new fresh ideas, then maybe I would take a second look.

ewjiml
ewjiml

When Nintendo finally has something to show under the hood of that Wii U, then people will stop hating.  Until then, I encourage it. 

Coolspot18
Coolspot18

@kmuypr Perhaps, but sales have stagnated and are in fact dropping! Sales should be rising not dropping.

Coolspot18
Coolspot18

@hall0559 Wow, at least you're quite loyal - I outgrew Mario after the N64. I didn't enjoy the Game Cube and the Wii was a dud for me.

0m39AX
0m39AX

@ploomp89 Don't compare. Dreamcast was WAY too hardcore - and awesome - to be compared to a Nintendo console. 

Coolspot18
Coolspot18

@ploomp89 The Dreamcast was an awesome console with decent graphics and a good library. The DC had one of the most complete fighting games library of that era. Unfortunately I think it was unrestricted piracy that killed the DC.

Zilaan_
Zilaan_

@ploomp89 

PS4 will have an 8 core CPU, 8GB GDDR5 memory and a 1.84TFLOPS Graphics card, USB 3.0...
I have a Wii U and it is, without doubt, a current gen system.

Scarshi
Scarshi

@Gravity_Slave It could be their new first-party released game! At least it'll also be multiplayer compatible :)

Gravity_Slave
Gravity_Slave

@OMGMrTea 

you still don't get it.  With Tablets and Smart phones advancing the way they are...handhelds just don't cut it anymore. 

ewjiml
ewjiml

@OMGMrTea  

Congratulations.  The Wii U outsold Xbox and PS3 at LAUNCH.  But whereas the majority of retailers were out of stock of said consoles during the launch period, the Wii U is in plentiful amounts at local Gamestops and Targets.   U think retailers like sitting on consoles that won't sell for 6 months? 

jd7904
jd7904

@ajay1708 xbox 360 and ps3 both launched with only 14 games and at $400 and $600 respectively vs 29 games at $350 for the wii u. at the time of the release of the ps3 you could get a ps2 for $130. so based on your argument why buy any new system when it comes out. The early adopters usually know what they are getting into. I don't remember any of the launch day games for either of those systems, or any other launch for that matter having a stellar library except for if they had backwards compatibility which neither of the other 2 next gen systems will have.

grnsuperman4
grnsuperman4

@xavor01 I'll pick one up years from now when a tire shop gives it away for free when I purchase 4 new tires. Just like the Wii.

Ayato_Kamina_1
Ayato_Kamina_1

@Zilaan_ @ploomp89 And that is one of the primary reasons for the poor sales. They've brought something out that should have been out 4 years ago if they wanted to be competitive with the other consoles. Too many gamers now are waiting and seeing on how the PS4 and Xbox will compare to each other. 

The wii found a nice little niche and as a result was tremendously successful alongside the more expensive ps3/360. The Wii U ignored the previous consoles selling points and tried to compete with consoles that had been out for 5-6 years. It's poor business acumen by Nintendo and they're lucky they can cope with the losses thanks to their handheld sales.

thepope21
thepope21

@CnConrad@OMGMrTea"...Nintendo has actually sold around 4 million of its original Wii consoles since the launch of the Wii U, meaning that gamers are still much more interested in its years-old model than the current version."

more like mom and dad or grandpa and grandma are getting it for their "gamer" children because unfortunately its the only game console they most likely can afford, and now that Wii U has been out for a while Wiis are at an all time low price. has absolutely nothing to do with "gamers interest" its about what people can afford. which in today's society isn't much!

ajay1708
ajay1708

@jd7904 @ajay1708 Yes but the 360 and PS3 were all giant leaps above the prior generation and Sony included blue ray which was still a new platform at the time. I'm not saying not to go out and buy a new system at launch, I have every intention of gettin a PS4 day one. What I'm saying is the Wii U is only worth about 250$ max because it's current generation technology and doesn't really offer anything new that's not out already. However I would pay over 400$ for a PS4. That's the difference.

michaelrjohnson
michaelrjohnson

@hrst1 @michaelrjohnson  

I do as well, and I tend to agree.  Love the GoW, and Final Fantasy games on it.  Especially since I have it hooked up to the TV.  However, numbers don't lie and Nintendo simply owns the handheld market.  I can't argue with their results.

jd7904
jd7904

@ajay1708 @jd7904  I'm not saying it was bad. I'm just saying it wasn;t any better than the wii u. If I remember correctly the PS3 was considered one of the worst tech blunders by cnet when it was released and it turned out OK.

ajay1708
ajay1708

@jd7904 Looking back at it the PS3 launch lineup wasn't as bad as some people make it out to be. It wasn't strong but it wasn't all that weak either. Resistance, COD3, and Marvel UA were some really good games.

ajay1708
ajay1708

@jd7904 @ajay1708 A consoles power is only half the battle, and has more to do with price reasoning which is where my issues with the Wii U starts. However my issues ends when it comes to games because there isn't a single Wii U game that I want that I can't get on PS3 or 360 and all of Nintendo's 1st party games are slacking and have gotten old. For the record I'm by no means trying to bash Nintendo I'm just telling facts. If they launched the Wii U between 200-250$ and had some decent games to play I might have gotten one myself.

jd7904
jd7904

@ajay1708 @jd7904 thats like saying the pentium 4 is the same technology as a intel dual core. Besides the most powerful system has never been the one with the best selection of games. look at the ps2. the xbox had a cpu that ran at 4x the clock speed and we all know how that played out.

hrst1
hrst1

@michaelrjohnson @hrst1 yes, but have you done a comparison of the graphics and stuff? like I played FIFA 11 on PSP and DS and the PSP looked 1000000000 times better. They are only successful because some parents decide 3 year olds need a console to play on. In my 2nd grade class, I was the only boy without a PSP, nobody had a DS, and I was so jealous of GTA and FIFA... but that Christmas I got it with GTA and FIFA and Harry Potter, and it was like a dream come true. I don't need a touchscreen and I don't need two screens, but oh well people do