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Pachter expects Wii price cut before year's end

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Michael Pachter says that Nintendo will slash the price for Wii later this year in order for the company to meet its shipment target.

“Wii supply has finally exceeded demand, so we expect hardware sales to show year-over-year decreases for the first half of 2009,” he said in a research note.

“In order to hit its full-year Wii shipment forecast, we expect Nintendo to cut the price of the Wii before [the] holiday, likely to $199.99.”

Pachter also believes that a PS3 price cut is still coming,  which will lead Microsoft to counter with its own special deal.

“In the second half of the year, we expect Sony to cut price for the PS3, and if the cut is deep enough, we expect Microsoft to respond (either with bundles or with a price cut of its own, even as Microsoft just introduced a Xbox 360 Elite bundle with free games Halo 3 and Fable II).”

More over on Edge.

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Stephany Nunneley-Jackson

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