toggle

AAPL Stock: 113.29 ( + 0.37 )

Printed from http://www.macnn.com

Rumor: Nintendo Wii U estimated at $180 to manufacture

updated 06:15 pm EDT, Mon April 9, 2012

Quarter of manufacturing costs on components

The Wii U is rumored to cost Nintendo $180 per unit to manufacture, according to sources of Forget the Box. Component costs are expected to be $50 of that total. "Cutting production costs to maximize profits is Nintendo's main concern with the Wii U," the sources claimed.

The NFC (Near Field Communication) components were tentatively priced at $5 and are expected to fall to below $1 as it becomes more mainstream, with the touch screen estimated at $14 and the cameras at $6 each. In comparison, the 3DS had a parts cost of $100 after a physical breakdown by the IHS iSuppli Teardown Analysis Service last year. The Kinect had cost Microsoft $56 per unit, as deduced by UBM Tech Insights in 2010.

The alleged $180 cost does not take into account costs incurred outside of manufacturing, such as development, shipping and packaging. The expected retail price of at least $300 also does not mean Nintendo would be earning a profit of $120 per console, as the retailer's profit margin and state taxes can take up a large percentage of that figure.




by MacNN Staff

POST TOOLS:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

Follow us on Facebook

toggle

Most Popular

Advertisement

Recent Reviews

ZTE Spro 2 Smart Projector

Home theaters are becoming more and more accessible these days, but maybe you've been a bit wary about buying a home projector. And h ...

MSI Geforce GTX 970 100ME

When Nvidia announced a new line of video cards in September 2014, many people thought things would continue to be business as usual i ...

Wren V5US Wireless Sound System

If you're a music fanatic, chances are you are, by extension, a bit fanatical about what you listen to your music on. If you're like ...

toggle

Most Commented