Nintendo Profits Drop As Gamecube Loses Ground

Thanks to several readers for pointing to a Bloomberg Japan report reporting a likely fall in Nintendo's profits, as they lose market share to the Xbox and sell less Gamecubes compared to this time last year. They're still on course for a profit of hundreds of millions of dollars, mind you, but the article does say that "some investors criticized Nintendo for failing to announce any significant plans to boost its game business.. at last week's Electronic Entertainment Expo." Investors also seems worried about increased competition for the Gameboy Advance, in the form of Sony's PSP handheld.

Comments

Just a *likely* fall in profit

[johannesg]

The (gaming) press is at it again, talking a good company into the ground before anything has really happened. This has happened so many times now: "company X might be going down!" followed by noone buying a machine from company X since it might not be a sound investment - thereby causing the bogus predication to become true.

Nintendo is doing fine. They are making a nice profit. They are writing great software. They own lots of profitable franchises that noone else has. They may have slightly less sales than Microsoft, but that does not mean they have been wiped off the face of the earth.

I hope Nintendo turns things around

[agentmouthwash]

It's sad to see Nintendo going the same path as Sega. Right now Nintendo has the same niche that Sega once had with the Dreamcast; fun addictive light-hearted games. Nintendo greats like Animal Crossing, Mario Kart, Zelda- and sega greats like Crazy Taxi and Space Channel 5 and Samba De Amigo. I really hope that genre doesn't go away in a gaming world ruled by Sony and Microsoft. The way things are going... I think it will.