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Nintendo makes $6 on every Wii sold
Nintendo is currently the undisputed leader in the gaming console market and it's a well-known fact that, unlike Sony and Microsoft, the company has been turning a profit on every Wii sold since the very beginning. But just how much profit are they making exactly?
According to new analyst estimates, Nintendo currently makes about $6 in profit on each Wii console it sells. It may not sound like a lot, but when you actually consider almost 35 million Wiis have been snapped up to date, one can imagine the high profit Nintendo is making with its popular motion sensing console.
In addition, Forbes points out that Nintendo first-party publishes roughly 60 percent of all Wii games itself – compared to 30 percent for Microsoft and 15 percent for Sony – and enjoys a gross margin on game software sales of 65 percent. Put it all together along with the wildly successful DS handheld and the bottom line is Nintendo is doing very well financially.
According to new analyst estimates, Nintendo currently makes about $6 in profit on each Wii console it sells. It may not sound like a lot, but when you actually consider almost 35 million Wiis have been snapped up to date, one can imagine the high profit Nintendo is making with its popular motion sensing console.
In addition, Forbes points out that Nintendo first-party publishes roughly 60 percent of all Wii games itself – compared to 30 percent for Microsoft and 15 percent for Sony – and enjoys a gross margin on game software sales of 65 percent. Put it all together along with the wildly successful DS handheld and the bottom line is Nintendo is doing very well financially.
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User Comments (4)
Post a comment| windmill007 on December 3, 2008 7:18 AM | They just got my $6
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| Nirkon on December 3, 2008 1:00 PM | They are doing it as they should, they are selling it for
manufacturing price + a few bucks to pay the company workers
and whatnot... unlike sony and microsoft who take up a lot
of money on each console, just making it more expensive on
our side.
|
| subtlewordplay on December 3, 2008 2:42 PM | Originally posted by Nirkon: They are
doing it as they should, they are selling it for
manufacturing price + a few bucks to pay the company workers
and whatnot... unlike sony and microsoft who take up a lot
of money on each console, just making it more expensive on
our side. I think it costs less to manufacure Wii's.
On the contrary, I believe Sony and Microsoft actually lose
money with each unit sold. Sony is in it just for the
blu-ray...
|
| gobbybobby on December 5, 2008 2:52 PM | microsoft and sony make a loss on every sold console. They
get it back with marketplace, Xbox live and Playstation
network content, and of course the games. So this comes at
no shock, The online feactures of the Wii are rubbish, no
voice, video, and the downlodable content is limited.
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