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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.

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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.

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