Analyst: Wii U needs to be $300 to make a profit, but needs to be $200 to sell

Will Nintendo have to sell its hardware at a loss?

Satoru Kikuchi, a Tokyo-based analyst with Deutsche Bank AG, has been crunching numbers based on estimated manufacturing costs of the Wii U and GamePad, and he has offered his analysis of Nintendo's position:

“To make a profit from hardware sales, the Wii U would need to be priced close to $300, based on estimated costs. To overcome competition from the many other devices on the market and be embraced by families and children, and not just hardcore gamers, it would need to be priced closer to $200.”

Another day, another analyst, another estimate. It is believed by many that Nintendo has never sold hardware at a loss. Thursday will be very interesting.

Source: Bloomberg