Wii shortages may force consumers to buy PS3 or Xbox 360 instead
By Dave Parrack
The Nintendo Wii may soon be facing two huge problems: massive hardware shortages, with demand far outstripping supply; and a distinct lack of Triple A titles on the horizon. Managing Director of Nintendo Australia Rose Lappin has chosen to stay quiet about these issues, refusing to return journalists calls, but the company has to act, and act fast if it’s not to become a bit part player in the latest console war.
In the early days of the console battle, the Nintendo Wii did extremely well from both a sales and marketing point of view, despite suffering from those hardware shortages which seem about to crop up yet again. But now, with the Ps3 and Xbox 360 both receiving price cuts and their first must have titles, the pendulum is swinging back towards Sony and Microsoft.
The danger for Nintendo is that the rumoured hardware shortages are going to make consumers look for a readily available alternative. Whether that will be the PS3 or Xbox 360 isn’t entirely clear as of yet but it could still ruin the Wii’s chances in this three horse race.
Nintendo President Reggie Fils-Aime has put a positive spin on the problem, telling the San Jose Mercury news:
“We have been sold out worldwide since we launched,”
“Every time we put more into the marketplace, we sell more, which says that we are not even close to understanding where the threshold is between supply and demand.”
Jupiter Research analyst Michael Gartenberg has summed up Nintendo’s problem by saying:
“At the end of the day, it’s a very fine balance for consumers. They may in many cases hold out and get the device they are looking for. But if supply turns out to be too scarce, consumers may decide that it’s time to look at other alternatives and other devices, and that can only bode well for both Microsoft and Sony.”
The other problem is games, or more accurately, a lack of them. With Microsoft’s recent unveiling and release of Halo 3, a game which actually lives up to the hype, and the PS3 soon to be graced by the likes of the eagerly awaited Assassin’s Creed and Grand Theft Auto IV, another problem for Nintendo is the lack of software, particularly from third party manufacturers.
We already know the Wii is underpowered compared to it’s bigger, bolder rivals, with Nintendo relying on innovation over graphics this time around, but is that an ultimately short lived strategy?
Nintendo needs to get itself back on track, and fast, before this console war changes from having three competitors to two. If the ‘bury your head in the sand’ attitude of Nintendo boss Lappin is widespread throughout the company then I think the Big N could have a problem.
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October 6th, 2007
Absolutely hilarious. What exactly is that bug up your collective ass over Nintendo and the casual gamer? Whatever it is, it has eaten its way to your brain.
On one hand, you claim Nintendo doesn’t have a console that can attract buyers… it’s too underpowered and has no compelling games. On the other, Nintendo can’t make enough to keep them on the shelves? If they don’t have a compelling enough system to produce demand, then why should they increase production? If, on the other hand, consumers are grabbing up every unit they put on the shelf, then clearly the console is plenty compelling.
Would they like to produce more units and get even more sales? Surely. Who wouldn’t? But their sales haven’t exactly been anemic. Halo 3 has finally allowed Microsoft to barely edge past the Wii on weekly sales. I would not be surprised at all if the XBox360 reclaimed its lead, but with a 12 month head start, that’s not really much of an accomplishment.
Sony is so far back that they could outsell the Wii by half a million units per week for months before they even become a factor.
That’s not to say that the Wii is the be-all end-all of consoles. It has simply carved an incredibly profitable niche for itself. The casual gamer has absolutely no interest in Halo3 or Assassin’s Creed or learning to use complicated controllers. The mere lack of Wii availability will not spark in them a sudden interest in these things. They are, after all, merely casual gamers and have plenty of other things to do while they wait for the Wii to become available.
The XBox360 is fantastic. They’ve set the bar for online experience, and there’s nothing that Nintendo and Sony can do to touch that in the forseeable future.
The PS3 is about 5 years ahead of its time… the question is whether Sony will be able to tread water for those 5 years.
The Wii has no online experience to speak of and its graphics are passible at best, but it has games that are fun and easy to pick up, and is particularly well designed for group play, and that’s all that it needs to be. It’s not meant to be a hardcore system. In fact, when has Nintendo ever been hardcore? Never!
But what is so wrong with that that you must invent some alternate reality where the console that has catapulted Nintendo to become Japan’s second most profitable company is somehow a failure? What sort of masturbatory drive compels you like Ahab after the White Whale?
Your impotent bile is completely misguided. Instead of spouting ignorant trash talk over a company that you clearly have no interest in, why not do your readers a favor and simply ignore Nintendo and the Wii? From your perspective, they serve an entirely different market. Talk about what you know… hardcore gaming, and leave the casual gaming consoles to the casual gamers.
Or are you absolutely incapable of allowing the possibility that someone else’s idea of fun has any merit whatsoever?
Apparently so.
October 6th, 2007
[...] Wii Shortages May Force Consumers To Buy PS3 Or Xbox 360 Instead - TECH.BLORGE.com Canada.comWii shortages may force consumers to buy PS3 or Xbox 360 insteadTECH.BLORGE.com, Australia - 6 hours ago By Dave Parrack The Nintendo Wii may soon be facing two huge problems: massive hardware shortages, with demand far outstripping supply; and a distinct lack Nintendo Wii to get a facelift soon? TechSpot Sony PS2 Outsells Wii PS3Center.net DFC: Sony's PS3 long-term prospects look good against the XBox 360 Computerworld Techtree.com - GameSpot all 87 news articles Share and Enjoy: These icons link to social bookmarking sites where readers can share and discover new web pages. [...]
October 6th, 2007
The wii shortage is a problem…yes.
Everything else you start to talk about is so wrong….a lack of triple a titles?
Mario galaxy, FF:CC, Metroid 3 (not in aus yet), SSB, MK, Chocobo dungion, Dragon quest swords and more.
Shame on wii for not keeping up to date, that “wii game shortage” is so over. Its time for ps3 and x-box fanboys to get something new.
Oh and there is no way that nintendo is comming last now. Thier might be a chance it comes second…..but not last…infact i suspect it will win. Last place will prob be x-box. With sony on second.
Honestly do you think nintendo cares? They are the second most valuable company in thier home country…..where is sony in that list?
October 7th, 2007
You’re mistaken if you think this will somehow negatively impact Wii sales in the long run. Even if people buy a PS3 or Xbox 360 because they can’t find a Wii, they will still buy a Wii when it becomes available.
Wii is not competing with PS3 or Xbox 360 — it is creating and expanding a whole new market that is outside the reach of Sony or Microsoft.
October 7th, 2007
You lost all credibility when you said the wii has no triple A titles on the horizon. SSB, Mario Galaxy, Raving Rabbids 2 and Metroid 3 here in Europe maybe? And the 2 games you happen to mention for the PS3 are multi-platform games and will both be released on the xbox 360 also with one of them not out until 2008.
October 7th, 2007
You guys keep churning out ridiculous Wii haterade - most of the time, you just make shit up. How about you shut up or you write something meaningful?
You should have known better than to put your ugly pictures on the damn site. No one cares about a bunch of ugly freaks’ opinions. Is that a girl in the top right pic?
October 7th, 2007
“the company has to act, and act fast if it’s not to become a bit part player in the latest console war.”
For a second there, I thought you were talking about SONY.
October 7th, 2007
Also, props to Keith in the first post above. Thats some of the best writing I’ve read in a long time. Ahab and the white whale? Beautiful!
October 7th, 2007
Fanboys painting devils onto walls once more? Funny. And you call yourselves a gaming site? Oh, I get it, you want more visitors to the page by spewing utter crap that the most rabid PS3/X0 fans just love to read.
To Keith I must offer my props, since he happens to have a “Wii” bit better insight into everything in all of this…
October 7th, 2007
I find it funny that a lot of people still think that cramming a bunch of unnecessary junk into systems made for entertainment purposes think that automatically makes the system better. That is the primary failing point of the PS3. Even with reducing the amount of junk they’ve crammed in, they are still way too costly to sell (especially with how much money they lose to begin with).
In truth, most people play video games for fun, not to watch something. If they wanted to see something pretty, they’d go to the movies or just go outside. You can easily make something look hyper-realistic and terminally crappy at the same time. Your average consumer will take something thats simple, fun to use, and cheap over something with controller with 34 buttons, a bunch of games that look nice often with little substance, and a huge price tag.
October 7th, 2007
Pretty much par the course for this blog. Hidden diss at Nintendo, woot Sony/Microsoft.
October 7th, 2007
Also I wouldn’t get too upset over these articles. I get the impression that the writers get a kick out of seeing vitriolic responses, even if their own writing and reporting skills are feeble. So don’t indulge the children, or you’ll only get more of the same.
October 7th, 2007
I agree on both points with Dude. I just enjoy people making fools of themselves. Especially when they apparently don’t know much about economics. Lack of supply for Nintendo is an issue, but given current average prices for games and such and the fact that Nintendo has been consistently popular outside of the normal sales bracket of Sony and Microsoft, I’d highly doubt that shortages will end up sending people to alternatives in great numbers.
October 7th, 2007
Any credibility this site had went straight out the window when you linked a Dave Richards story. This guy is the joke of the Australian IT journo industry… need I remind anyone of his infamous PS4 story (http://www.smarthouse.com.au/Media_Centres/Industry/R8W6V6L6), with his ‘insider Sony source’?
October 7th, 2007
Keith that was great.
October 8th, 2007
Hmm imagine all those kids waking up at Xmas with an Xbox or PS3 cause mummy couldnt get a Wii. Sales may surge for the Xbox or PS3 cause no Wii’s on the shelf(and mummy wants to keep the kids happy) but the return of those consoles back to the shops because all they wanted was a Wii will be a hard pill for Microsoft and Sony to swallow. The Wii has carved a nice niche market for casual gaming plus it has the quality titles gamers look for too. I think Dave Parrack author of this article is struggling to come to terms with the fact Nintendo are doing so well. What good games are there on the PS3 anyway?
December 30th, 2007
[...] sold in huge quantities all around the world, and this Christmas has seen a huge shortage of consoles, despite Nintendo ramping up production. So sales haven’t been a problem, with the price, and [...]
March 15th, 2008
[...] being the top selling console, with the Wii not far behind. Stocks seem to be appearing again after the holiday season shortfall, but are being snapped up just as fast as [...]
March 23rd, 2008
[...] whatever reason, the shortage of Nintendo Wii consoles which started last year is continuing well in to 2008, particularly in the US. We still don’t [...]
April 4th, 2008
[...] the supply problems may be over in most parts of the world, except bizarrely in North America for whatever reason (and [...]
September 9th, 2008
[...] about 1/3 of the total world supply of consoles, compared to the 40% the country usually receives. The severe shortages experienced over the 2007 holiday season seem to be coming back with a vengeance, even though [...]