Nintendo “Encouraged” by 3DS Sales – Finally Selling Above Hardware Costs

I normally try to avoid making posts about sales numbers, but I figured that a quick blurb about this relatively optimistic issue wouldn’t hurt.

As of today, Nintendo is finally selling new 3DS units above the cost of manufacturing them. In other words, it is finally making a profit on any sale of its latest handheld. This is particularly good news, considering that the company has reported the 3DS has now sold more than 19 million units worldwide, dating back to its Japanese launch in February 2011.

Nintendo normally avoids the financial hits from new hardware by balancing its cost of production with the price of hardware, but the 3DS’s big price cut last summer meant that there would need to be some profits lost in order to push out more units. This is indeed what happened, and now we see that the 3DS appears to be in much better shape.

In fact, although Nintendo has posted yet another quarterly loss, it says it is “encouraged” by the sales generated by the 3DS. In addition to all the hardware sold, there have been 52.81 million software units moved in the same time frame. Three 3DS games have sold over a million copies each – Legend of Zelda: Ocarina of Time 3D, Super Mario 3D Land, and Mario Kart 7.

The launch of the new re-design (the 3DS XL) on August 19 will only bring more sales, both hardware and software – I wouldn’t be surprised if the regular 3DS model goes on sale at major retailers pretty quickly, definitely by the holiday shopping season gets started.

What do you think? The current number of original DS units sold worldwide is staggering – over 152 million – and at this rate it could be possible to see the 3DS have the same kind of success.


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