Analysts: Wii drought to cost Nintendo $1 billion
It's no secret that Nintendo is failing to adequately stock retail channels with enough Wii units despite pumping out 1.8 million systems on a monthly basis, but as the New York Times reports, shortages mean Nintendo is set to lose more than just face.
While Nintendo's Wii has been the bestselling home console in the US every month this year, except during September when a Halo 3-driven Xbox 360 narrowly edged it out, the Kyoto-based company is failing to fully capitalize on the system's popularity.
Nintendo sold 981,000 Wii units in the US during November according to the NPD Group, but according to James Lin, senior analyst at the MDB Capital Group in Santa Monica, Calif., "they could easily sell double what they're selling." Along with other industry analysts and retailers, Lin believes Nintendo could be set to lose out on more than $1billion this holiday, not including missed revenue opportunies from associated software sales that won't materialize.
While Nintendo of America's senior vice president of marketing says he doesn't believe Nintendo's "made any mistakes" when it comes to gauging demand, he admits consumers may turn their heads towards other systems if they can't get hold of a Wii.
"We do worry about not satisfying consumers and that they will drift to a competitor's system," George Harrison said.
Sony CEO Howard Stringer is one interested observer who's pleased with the Wii shortages. "I'm happy that the Wii seems to be running out of hardware," he noted earlier this week. During November Sony's PS3 outsold the Wii in Japan over a four week period for the first time since the systems launched late last year.
As previously reported, Nintendo shares have dropped by eight percent since November, having risen five-fold during the two years prior. Wii shortages and a resurgent PS3 are two factors that leave the immediate future of Nintendo's stock hanging in the balance."
Source
Reported by: Snake
Too bad that they can't up the production. They will be selling tons if they could compete with the demand.
I don't understand..if there selling so well, how come its gonna cost them?
Honestly it isn't going to cost them really... The people hellbent on the acquisition of a Wii will follow through one way or the other. The fact that Nintendo stepped up production which still doesn't satisfy demand says a lot. MS and Sony haven't had to worry about that because people are foaming out the mouth for one...
i whis they would ovestoke at christams cause i STILL don't have GH:3 and it released in november!
I don't understand..if there selling so well, how come its gonna cost them?
it's not that they'll lose money--it's that they could make $1billion MORE than they already will
it's really just putting a negative spin on what's going on. yes, Nintendo could make more money if they actually had the ability to produce more systems, but they're already making money. a LOT of money.
Would you kill a man for water?
I dunno...
Would kill a man for a Wii?
Hell yes!
I think to make a Wii it requires the power of all 9 Time crystals.
Would you kill a man for water?
I dunno...
Would kill a man for a Wii?
Hell yes!
I think to make a Wii it requires the power of all 9 Time crystals.
I honestly lol'd at that last part 
In due time Nintendo will sell the Wii to those who are still wanting one and missing one so I wouldn't think they are losing much of anything here. Sure it would be nice for everyone to get one right now but they've produced as much as they can or want to and it seems to be just fine with them.
Yea,
, then portal
I just noticed this was already in the portal. This one should be locked and everyone should post there instead.
Edit: Nevermind, I don't see it in the portal after all.
Between Thanksgiving and Christmas, Wii's could be selling in the tens of millions. That is a HUGE demand.
I'm glad I have mine since last year. Looks like this year is even crazier for demand of the Wii, judging by my city alone
i wonder how like this drought will last.
Im guessing people won't be able just to walk into a store and buy a Wii until Q3 of next year maybe?
I've been waiting since they was released i stood in line for 6 hours in freezing weather infront of my walmart on release day and i had one in my hand but they decided they'd sell to person behind me!!!
I STILL dont have a wii.. But im sure all of you who knew me before would know that i am DYING FOR A WII still havent got one but im still waiting.
I've been waiting since they was released i stood in line for 6 hours in freezing weather infront of my walmart on release day and i had one in my hand but they decided they'd sell to person behind me!!!
I STILL dont have a wii.. But im sure all of you who knew me before would know that i am DYING FOR A WII still havent got one but im still waiting.
Wow thats pretty harsh. 
Good luck getting one.
I've been waiting since they was released i stood in line for 6 hours in freezing weather infront of my walmart on release day and i had one in my hand but they decided they'd sell to person behind me!!!
I STILL dont have a wii.. But im sure all of you who knew me before would know that i am DYING FOR A WII still havent got one but im still waiting.
why did they give it to the person behind you.
I've been waiting since they was released i stood in line for 6 hours in freezing weather infront of my walmart on release day and i had one in my hand but they decided they'd sell to person behind me!!!
I STILL dont have a wii.. But im sure all of you who knew me before would know that i am DYING FOR A WII still havent got one but im still waiting.
why did they give it to the person behind you.
something along the lines of "I don't have cash... will you take crack rocks, instead?" j/k or course