Mon, Feb 18, 2013 | 21:19 GMT
Pachter deems Wii U a “mistake” Nintendo can’t recover from
Wii U was a mistake that Nintendo may not be able to recover from, according to Wedbush Morgan analyst Michael Pachter.
It comes as Wii U software sales only accounted for 1.6% of the UK’s total games market spend in January.
Pachter has since labelled the UK games market “a joke”, due to the ferocity of retailers under-cutting each other for a guaranteed sale.
Speaking with GamesBeat, Pachter said, “I think [Nintendo] misfired on the Wii U. It’s just not that different from the other two [existing] consoles, and the gameplay isn’t as unique as the Wii. They made a mistake, it’s something they probably can’t recover from.
“I think they have made a costly mistake. And their handheld business can’t save them in the face of cannibalization from smartphones and tablets.”
As a comparison, GamesBeat offers that Nintendo failed to sell over 100,000 Wii U consoles in the US through January, while some 281,000 Xbox 360 consoles were shifted by rival Microsoft in the region.
The site adds that Wii U console sales in the US are currently down 38% on the original Wii.
What do you make of Nintendo’s situation and the performance of Wii U so far?
Thanks Destructoid.


75 comments
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#51
Clupula
18/02/13, 7:02 pm
“The Atari Jaguar and 3DO blew everybody away! You couldn’t keep them on the shelves, the sales were so high!”
#52
manamana
18/02/13, 7:11 pm
I pull off a pachter and predict by this time in a year they will have the software to keep them alive.
#53
theevilaires
18/02/13, 7:15 pm
@31 I’m not talking about sales, sales mean shit….look at wii sports…need I say more?!
“Fact” is no one has better 1st party titles than SONY…NO ONE! Thats what I meant about mega hits. Talking in term of great quality. SONY has way more 1st party franchises than Nintendo that are AAA grade.
#54
livewired500
18/02/13, 7:24 pm
I think Patcher likes to say this crap so he can short the stocks because investors won’t know how much he is full of shit 95% of the time.
He could be right, or wrong? Doesn’t matter. He should have lost all respect in the gaming community by now.
#55
reask
18/02/13, 7:30 pm
What about the gamers Ninty disregarded with the wii?
My first real venture into gaming was ps2.
When I decided to go next gen it was a toss up between 360 and wii.
Luckily for me I opted for 360.
So what,s my point you may ask.
I like games like gears,uncharted,halo,cod,killzone,fear etc etc.
I like shooters for the most part and adult looking shooters with decent on line play to boot.
Where are those type of games on the wii in any real quantity?
Nintendo seemed happy enough to disregard that type of gamer with the wii whilst it was selling gazzillions.
I remember been out at my local store at the time and the wii was been advertised with cod 3 on the billboard and I was really tempted.
I know folks say there are plenty of gems on the wii and I aint going to try and claim otherwise but when I eventually got one for my daughter I think I played 1 game on it which was mario kart racing or something like that.
Way too kiddy for me and it eventually got traded in by my daughter for her own 360.
Say what you want and I at the time knew very little about gaming companies except that PS was the man and MS had this thing called xbox on the market which some people claimed it was better than ps2 but it didnt seem to sell a lot.
For that reason I would not get a wiiu as I expect to be catered for so you have to wonder how many more millions that bought the wii feel the same.
Best of luck to Nintendo but I know atm anyway I would have no intention of making the same mistake I nearly made first time out.
Psst…………
It,s all about the games Ninty.
#56
kaffikjelen
18/02/13, 7:36 pm
Wii U sales might pick up come autumn, when some new titles have been released, though it’s hard to tell given that PS4 and X720 probably release then. I hope Nintendo make it through fine, as they can act as a nice counter-balance to Sony and Microsoft.
#57
Sini
18/02/13, 8:32 pm
the fastest nintendo becomes a third party in console space the better for everyone, nintendo including
#58
nhowell14
18/02/13, 8:32 pm
#54 No doubt, It’d be a truly nice change of pace for him if he actually provided some statistical assumptions and not just what he thinks personally.
And I’m sorry, but its freaking Nintendo. The Wii U may not be the Wii-level hit as Nintendo wants it to be, but it will most def do better than the GC. Everyone knows as soon as this new Zelda and 3D Mario come out, there wont be enough to go around.
Correct me if I’m mistaken, but wasn’t the 3DS a “flop” as well? Look at it now, and willing to bet my whiskers that as soon as Poke=man X and Y are released, the smartphone/tablet threat won’t be so drastic. Not to mention, people are probably getting quite tired of phones and tablets. It’ll be wearable computing next. Just you watch.
#59
The_Red
18/02/13, 8:41 pm
Why are people comparing Wii U to DreamCast?
DC was nothing like Wii U for it’s time. It had a much more advanced hardware compared to rivals (N64, PS1) which meant its games looked a lot better. DC was also ahead of the curve with an online system and semi-MMO games, something that rivals at the time didn’t have (Again, N64 and PS1, not the next-gen systems like PS2 and Xbox). Wii U does not have the semi-generational leap in graphics and by no means is ahead in terms of online.
That being said, I don’t think it’s gonna be that fatal for Nintnedo. Sega had been failing with 32bit, CD and Saturn before DC sealed the deal.
#60
dreamcastnews
18/02/13, 8:46 pm
Dreamcast was a competitor for PS2, GameCube and Xbox. They are all 128bit systems with not an amazing amount in the capability differences.. The Wii U isn’t the ‘Nintendo Dreamcast’ there is a wider gap between PS4, Xbox and Wii U (or so they say)
We aren’t even close to seeing what any of these machines can do, I’m not sure what radical changes you all expect from these new machines.
Nintendo are fine.
Get over it.
#61
fearmonkey
18/02/13, 8:47 pm
Nintendo’s Biggest mistake was launching with a multitude of titles and no major Killer app, like a mario 64, Zelda, smash bros, etc. They released a large selection of games, some that had already been out on other consoles, but nothing made me go out and buy one.
I was completely set to get a wii-u last year, but the launch line up was meh. If they could have a mario or Zelda title that looked and played amazing to go against Sony or MS, and both of them have meh titles at launch, then Nintendo can do well. If MS or Sony have a killer app or some amazing titles at launch then Nintendo could be in trouble.
#62
Fin
18/02/13, 9:01 pm
Nintendo main mistake wasn’t lack of a killer app, or lack of first party games, or even the lack of quality third party games at the moment.
It’s the hardware.
The Wii succeeded because it was easy and accessible just as casual gaming exploded. The core went and bought PS3 and 360, those who bought a Wii certainly didn’t use it as their main console.
So now the casual audience has moved to mobile and Facebook. They won’t buy the Wii U in the same numbers, that leaves the core audience.
Unfortunately the difference in power between Wii U and the true next-gen consoles is going to be so huge (the same as the difference between Wii and PS360), third parties simply won’t do primary development on Wii U once PS4/720 arrive (what’s the point developing for a single system when you can develop for two core machines + PC at the same time, for the same cost) – it’ll be left to B-teams and ports, as the Wii was. The core will pick up a PS4/720 as before, only this time, Nintendo won’t have the casual audience to pick up the slack.
They’ve neglected the outright power arms race, and despite what they (and others) say, graphics and power do matter. Without power (close-to) parity between systems, the Wii U will get left behind.
It’s not going to outright kill Nintendo, but it wouldn’t surprise me if this was the last generation we see Nintendo console hardware.
#63
foxmulder555
18/02/13, 9:04 pm
@60 I think weve seen all the wiiu can do , perhaps there is a little extra under the hood compared to ps3 /360 but it will be of little use compared to the 8 core beasts around the corner I’m afraid. Im sure there own titles will look superb but I doubt when Zelda hits probably xmas 2015 it will stand up against uncharted 4 or 5 or what ever it maybe
#64
dreamcastnews
18/02/13, 9:08 pm
@64 It won’t concern me too much, if the PS4 is £300, I’ll have one of those too, I’m all about the games and not the system, I’m just disappointed that most users here are more about the system.
The Nintendo ranting seems real silly, I think it’s well documented that most of the mainstays here wouldn’t touch another Nintendo product but they just go on and on and on about it. I think we all get it.
#65
Clupula
18/02/13, 9:10 pm
@64 – The Nintendo ranting seems real silly, I think it’s well documented that most of the mainstays here wouldn’t touch another Nintendo product but they just go on and on and on about it. I think we all get it.
No, if Nintendo had created an actual next-gen system, I would have definitely been checking it out. As it is, Shin Megami Tensei x Fire Emblem has me interested. But the system would need another 18 great exclusives before I’d give it a go and I don’t see that happening.
As it is, whenever they do become a third party publisher, I’ll probably check out whatever Zelda title they bring to PS4.
#66
dreamcastnews
18/02/13, 9:14 pm
I can assure you they’d sooner make games for mobile phones.
I think the core of it is that most of you wouldn’t buy a Nintendo format, no matter how powerful it was.
When did this become about graphics over gameplay anyway? Didn’t Sega try that shit in the 90′s with the Mega CD and the people voted with their wallets and bought the Megadrive because the gameplay was there not the aesthetics.
#67
Fin
18/02/13, 9:27 pm
@66
Gameplay and graphics aren’t mutually exclusive any more.
It only became an issue with Wii as the console playing field had been fairly level up until that point – the same thing would’ve happened if the N64 hadn’t been 3D, or whatever.
Show someone the same game twice, once in HD, once in SD (or, these days, once on cur-gen, once on next-gen), guess which they’ll chose?
#68
manamana
18/02/13, 9:48 pm
I’m buying it next to the PS4 once the good titles are out. Same goes for the next xbox. Only games can cater me. Don’t need any of the film/video/music/webbrowser stuff on modern consoles.
#69
theevilaires
18/02/13, 9:58 pm
Awesome post there Reask. I felt the same way just like many others. Nintendo you need to create new IP’s and get mature with it. I feel like SONY has been the only console that has aged along with me game wise (Crash-Jak-Drake). While Nintendo is still at that 10-12 year old level.
#70
Moonwalker1982
18/02/13, 10:08 pm
I don’t usually take Pachter very serious, but i DO see that this is very plausible, which is sad. I don’t want to see Nintendo leaving. But i honestly can’t say i’m too happy and excited about anything for the Wii U really. I find it a very bad move to come with current-gen technology when the competition are basically ready to move into new and further technology.
However, graphics are not everything. If they can blow us away with some great titles at E3 it should be fine. I am always excited about a new 3D Mario game, hopefully Mario Kart can become interesting and FUN again, Smash Bros should be great and of course the new Zelda will always be nice. But what i want to see is new exclusives from both Ninty and third party. It’s definitely not over for Nintendo yet, and maybe it won’t at all.
#71
Telepathic.Geometry
18/02/13, 10:47 pm
I don’t think Ninty will fall out of the hardware business THAT easily. And I also think that if we have learned one thing over the years it’s that love them or hate them, you can never count Ninty out.
That said, the business is much more troubled and in greater flux now than it ever was before, so I think Ninty is really feeling it now. I’m sure the higher ups are shitting their pants. Maybe a scared Ninty is a good Ninty for the gamers…
Bottom line though is, a games industry without Ninty’s imagination, invention and occasional ballsy moves would be a very sad place. Even if they go third party, I would hope that they end up saddled with someone who recognises that those guys really know games.
#72
ManuOtaku
18/02/13, 11:39 pm
I think the main reasons are price and games more than power, all the previous generations prove that power alone is not a factor anymore and i think this will be the case in future generations, is a combination of a lot of things.
The wii had one advantage this gen, it didnt required a new tv set in order to play games, keep in mind the hdtv rate adoption really took a hughe percent of the market in 2010 and beyond, alongside with the increase in the adoption rate of the HD consoles, but prior this the wii was with a very low price in itself, without the extra added TV cost, this combine with the new way of play put the wii on a good value level, from a gamers perspective, of course.
This is something the Wiiu doenst have, both new consoles from their competitors do not require any additional equipment like this gen with the tv sets, in fact is quite the opposite hardcore gamers will need to buy the pro controller, which is a more core controller than the tablet gamepad, for the rest is the same as the wii was, great bundle game that demostrated the capabilities of the console, a new way of gaming, etc, i think both are pretty much the same philosophy, with the exception of the price, i believe with a price cut and strong nintendo games it will fare better, better than the gamecube, but not as well as the wii, i think it will be like the N64.
p.s and also please bundle the pro controller free boxed in every new WiiU and it will do better
#73
Jogo
19/02/13, 12:48 am
Pachter clarifies his statement:
My comment about the Wii U being a “mistake” from which the company “may not recover” was intended to say that if Wii U sales don’t materially improve, Nintendo is unlikely to be profitable. They have around ¥1 trillion (around $11 billion) in cash, so they aren’t in danger of going out of business for decades.
Than on page 14:
I don’t think Nintendo is going bankrupt, ever.
Source:
http://www.neogaf.com/forum/showthread.php?p=47894562#post47894562
#74
taylorlauder
19/02/13, 1:54 am
I predict no one from the gaming community will miss pachter when he’s dead 50 years from now.
#75
Joe_Gamer
19/02/13, 3:05 am
God I hate this fucking guy, he’s a financial analysts who doesn’t give two shits about gaming. He uses his position to trash Nintendo because IT BENEFITS HIM FINANCIALLY for Nintendo to do badly. His shitty “advice” and commentary is based solely on what benefits him and his clients the most.
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