Analysts agree 3DS now on track for success

By Brenna Hillier
5 January 2012 01:11 GMT

Although analysts warn Nintendo not to rest on its laurels, the 3DS is now tipped to go from strength to strength.

“It’s definitely turned the corner,” Wedbush Morgan’s Michael pachter told Eurogamer.

“With the strong rebound in 3DS sales, I think Nintendo is clear of the woods for now,” EEDAR’s Jesse Divnich agreed.

Pachter noted a weak software line up and launch and high initial price as factors in the 3DS’s early struggle, admitting he had been wrong about the launch price’s feasibility.

“I was surprised that it sold so few at the $249 price point, and its sales to date are exactly what I originally forecasted at that price,” he added.

But Divnich and Screen Digest’s Piers Harding-Rolls said the success of the holiday quarter wasn’t enough to keep the system going.

“Going forward, however, we will closely be paying attention to software attach rates. Selling hardware is great, but it is only the first step. The health of any hardware is directly correlated to the amount of software consumers buy,” Divnich said.

“2012 will be crucial for the platform, as its sales momentum will decide how third-party investment in content development will be prioritised,” Harding-Rolls added.

“We expect the 3DS to continue selling, but Nintendo faces an increasingly competitive landscape and the hurdle of convincing third-parties to invest in the platform.”

None of the analysts were keen to back the 3DS to our-perform its precursor, the DS.

The 3DS passed 4 million Japanese sales over the break, shifting nearly half a million units during the last reported sales period.

Thanks, GoNintendo.

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