Wii U 'profitable after one game purchase'

Loss-making console "doesn't change our business model," claims Reggie

Nintendo has said its loss-making Wii U swings to profit with just a single game purchase along with the console.


Nintendo of America President Reggie Fils-Aime told Mercury News that despite the new console itself being sold at a loss, "the business model doesn't change dramatically."

He explained: "As soon as we get the consumer to buy one piece of software, then that entire transaction becomes profit positive.

"In the end, the business model is still to drive the install base of hardware, and then to drive a strong tie ratio with all of the other software and experiences for the consumer. And if we're able to do that, then we will create significant profit for the company."

During a financial results meeting last month, Nintendo said it expects 5.5 million Wii U sales in the business year ending March 31, 2013, as forecast by CVG in July, as well as 24 million Wii U software sales.

Wii U released in North America last weekend, and will go on sale in Europe from November 30.