Nintendo Lost 25.5 Billion Yen in Second Quarter of 2011

In addition, the new 3DS price cuts means they will be making a loss on every console sold after the new price cut.

by Matt Mann
Nintendo has revealed that they lost 25.5 billion yen in the second quarter of 2011, which roughly translates to a loss of $330 million. As reported yesterday, the issue has to do with declining Wii and DS sales, coupled with the less than expected sales of the 3DS. In addition, Nintendo has slashed their projected earnings by 82% from 110,000 million yen to 20,000 million yen. Also, for one of the first times in the history of the company, Nintendo will be taking a loss on every sale of the 3DS after the price cut. Taking a loss for the sale of a gaming system is something Nintendo has said in the past they would never do. However, Nintendo "president Satoru Iwata said such major moves were necessary in order to improve fiscal performance." Will this cost cutting move for the 3DS help improve sales, or will people wait for the PS Vita? However, if sales don't improve Nintendo will have even more riding on the success of the Wii U than previously thought.
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I have been playing video games all my life but not only that I enjoy discussing them just as much as I love playing them. Therefore after going through college to get a criminal justice degree I became a freelance video game writer.