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Tuesday, 18 September 2007 13:47

Nintendo rakes in profits from Wii

Written by David Stellmack

Image Image

Hang onto your Wii when you hear this

 

According to Web site, Financial Times, (www.ft.com) and Soichiro Fukuda, a Nikko Citigroup games analyst, Nintendo is making a considerable gross profit on its Wii hardware console.

Over 9 million Wii consoles have reportedly been sold thus far since Wii’s introduction only one year ago, far outselling the Microsoft Xbox 360 and the Sony PlayStation 3 consoles.

Reportedly, every Wii sold in the U.S. reaps a gross profit per console of $49 (¥5,600), and those in Europe provide a gross profit per console of $74 (¥8,500).  The gross profit per console in Japan is less at $13 (¥1,500), but certainly not small change considering the total quantity of consoles sold worldwide. 

In comparison, Sony does not expect to earn a profit for its PlayStation 3 console until 2009 and the Xbox 360 is not expected to be profitable until sometime in 2008.

Nintendo has predicted that its Wii sales will grow by a whopping 180% this year, for an estimated total number of consoles to be sold by the end of the 2007 holiday season topping 16.5 million.

And that makes us want to say “Why didn’t WEEE invent this?”

Read more here.

Last modified on Tuesday, 18 September 2007 14:25

David Stellmack

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